According to Ed Miliband and Bridget Phillipson, motorists are paying more than they need to at the pumps because of ‘price gouging’ by petrol retailers. No mention there about tax gouging.

How much more revenue could the government raise if Miliband rescinded his ban on new drilling for oil and gas in the North Sea?

How much more revenue could the government raise if Miliband rescinded his ban on new drilling for oil and gas in the North Sea?

As if we weren’t paying enough in tax at the pumps already – half of the cost of a litre of petrol – the Treasury is drawing in an extra £20 million a day since the Iran crisis, thanks to VAT on fuel and extra taxes on profits of oil companies, according to consultants Stifel. While fuel duty itself is fixed, VAT is proportional to price. The government stands to raise even more revenue from the autumn when the long fuel duty freeze introduced by the Cameron government finally comes to an end. A total rise of 5 pence per litre is planned over the next year.

The government’s position on fuel duty stands in stark........

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