Motoring groups lashed out at PM Boris Johnson for failing to increase his “paltry” cut in fuel duty as the price of filling up an average family car topped £100.
Prices leapt again today, with unleaded up by 1.58p to 182.31p a litre and diesel by 1.48p to 188.05p, but some motorway forecourts are already charging more than £2 a litre.
Calling it a “dark day”, the RAC’s fuel spokesman Simon Williams said the Treasury was raking it in due to the price rises, taking 53p per litre in fuel duty and 30p in VAT.
He said: “There is only silence coming out of the Government.
“March’s 5p fuel duty cut now looks paltry as wholesale petrol costs have increased by five times that since the Spring Statement. A further duty cut or a temporary reduction in VAT would go a long way to helping.”
AA President Edmund King urged the Chancellor Rishi Sunak to slash fuel duty by a further 10p. He said: “Enough is enough. The Government must act urgently to reduce the record fuel prices.”
He called for a stabiliser to lower fuel duty when prices go up and raise it when prices drop, and demanded “more fuel price transparency to stop the rip-offs at the pumps”.
Mr Williams said the Government was “benefitting” from the high fuel prices, taking 30p in VAT from every litre, compared to just 25p before Russia invaded Ukraine.”
FairFuelUK called for an independent watchdog to ensure cuts in duty and VAT were passed on.
But today Mr Johnson said it was up to retailers to pass on the 5p fuel duty cut announced in March.
He said: “We made a cut already – the biggest cut ever in fuel duty. I want to see those cuts having an impact on the pumps.”
AA figures show that 27% of households on lower incomes have had to cut back on food to keep the car on the road for work, while 2% have sold their motor to save money.
Cab drivers and carers have told of the impact of the price hikes.
Susanne Wild, manager of a Whitstable care company, said the rising cost of fuel meant staff could no longer afford to travel to clients.
She said: “Staff are leaving. We can’t get to the people we need to see without having a car. It’s impossible.”
An Oldham taxi firm boss said drivers were doing longer hours to cover higher fuel costs. Pervaiz Iqbal said: “There is no other option.”
A year ago, oil was $69 a barrel. It hit $123 a barrel today.