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Tag: Budget reaction
AA BUDGET REACTION – Fuel Tax increases disappointing, extension to Scrappage and VRT relief for Hybrids welcome
Fuel tax increase pushes petrol prices to all time record levels
The AA has said that the 4 cent per litre increase in petrol prices announced in the budget will push prices to an all time record high.
From midnight tonight petrol will cost approximately €1.40 per litre. This is the highest price we have ever paid for fuel. Previously the record high price paid for petrol was during the oil price surge in the Summer of 2008 when prices peaked at €133.5. That record will now be broken not because of oil prices but because of tax increases.
It is worth noting that were it not for the tax increases of the last 2 years, petrol would cost approximately €1.21. Diesel prices will rise to approximately €1.32, an increase which will affect businesses as well as many private motorists. This budget alone will add about €6 per month to fuel bills.
“The increase in fuel taxation is very disappointing, although it does not come as a surprise.” Says the AA’s Director of Policy Conor Faughnan. “Remember that it comes on top of successive tax increases applied since the emergency budget of 2008.”