Government Confirms Isles Fuel Price Cut
The UK government today confirmed that a motor fuel duty discount pilot scheme for island communities will start from 1 March 2012. Applying to the Inner and Outer Hebrides, the Northern Isles, the islands in the Clyde and the Isles of Scilly, the 5p per litre tax discount will apply to fuel on the islands.
Danny Alexander, Chief Secretary to the Treasury commented that it’s “terrific news” for island communities. Fuel retailers will receive a 5p per litre rebate on the petrol and diesel they purchase and will be required to pass on the full savings to customers.
The announcement has come after the UK government received final European Union (EU) clearance to operate its rural fuel rebate pilot scheme for islands after isles communities had suffered the effects of high fuel costs for years on all aspects of rural life.
Watch this space for more information, when the draft legislation for the pilot scheme is published on the HMRC website.