The cost of petrol in the UK is more than in Russia, the US and Europe, and in his Daily Telegraph article today, Boris explains it is all down to the fact that the Treasury takes 60% of the fuel bill in excise. Thanks, Gordon Brown!
Boris was asked about the cost of petrol at a petrol filling station, and wishes he had said the following: “ I would have blamed the Labour government for its useless policies and the mess it left behind. I would have blamed Blair for bamboozling the public into a war about cheap oil that ended up delivering all sorts of disasters but no cheap oil – or at least none available to British motorists. I would have blamed Brown and Balls for racking up the vast deficit that makes cutting taxes so difficult. And I would have tried to give her some sort of sign that the Coalition recognises this escalation cannot go on forever.
It’s not just that it’s inflationary. If Britain’s businesses cannot afford to run their vans, then they will stop hiring, they will stop expanding, and tax yields will go down. It is not just for environmental reasons but for cost reasons that I am starting physically to ache for the age of the electric car. In theory, it should all be kicking off this year. Mitsubishi, Peugeot and Smart are offering electric models this month; next month it is Citroën; in March, Nissan and Tata come to market, and in April we in London are launching our Source London network of charging points.”
The real solution though, says Boris, would be a fuel duty stabiliser. Read the rest of Boris’s amusing article on the link above.