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Fuel duty hikes impact courier firms


Date: 03 October 2007

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Fuel duty increases could have a crippling impact on courier firms around the country.

Taxes on fuel increased by 2p per litre this week, adding a significant cost for companies that rely heavily on petrol and diesel, such as courier companies and freight haulage firms.

The Road Haulage Association has predicted that smaller firms are likely to go out of business should the government go ahead with proposals to add yet more increases in the future.

Midlands spokeswoman Kate Gibbs told the Birmingham Post the 2p rise was just "the tip of the iceberg", and that there was another 2p rise slated for next April and another 1.8p increase in 2009.

This would pile the pressure on couriers, she said, and Katie Teasdale of the Birmingham Chamber of Commerce agreed.

She said the rises would have "very real consequences" for operators who would be forced to pass on the costs to customers.

Last week the Road Haulage Association and the Freight Transport Association tried in vain to persuade the government to abandon plans to hike fuel duty.

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