Today at the pumps
The back story
Just take a moment to make sure you understand what’s going on here.
Since Labour came to power, the average pump price of unleaded petrol has increased from 55.8p per litre to 100.06p, a rise of 44.3p (79%).
Of that extra 44.3p, no less than 24.6p comprises higher tax- more than half of the total price hike.
Or to put it another way, this government has racked up petrol taxes twice as fast as inflation (a tax increase of 57% vs inflation of 30%).
Despite those $100 per barrel oil prices, more than two-thirds of today’s ruinous petrol price is tax.
Simple as.
Pix: Today- Mail. Back story- PetrolPrices.com
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Mike Denham is a former Treasury economist who worked extensively on public spending and fiscal analysis during the 1970s and early 1980s. His work included cost benefit appraisal of public projects, analysis of public sector cost inflation and value for money studies.
For the next 20 years he worked in the City as an investment manager, closely following fiscal and monetary policy developments. Now semi-retired, he scrutinises public spending on the TaxPayers' Alliance Burning Our Money blog.
Mike studied PPE at Oxford University, and has a Masters in Economics from the LSE. He lives in Surrey with his wife, and has two sons.
The back story
