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Page last updated at 13:57 GMT, Monday, 1 December 2008
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Filling station fuel duty protest

Motorists have flocked to a Suffolk petrol station after it slashed its fuel prices in protest at a 2p per litre increase in government duty.

There were queues on the forecourt of Jet service station at Darsham as drivers discovered the first 10,000 litres of fuel sold would be VAT-free.

Owner Chris Woodruff priced petrol at 79.9p a litre and diesel at 93.9p.

"It will probably cost us about £1,000 in lost profits but we wanted to make a point," he said.

'Hard hit'

According to the AA, the national average price of petrol on Monday was 91.5p a litre, with diesel at 106.7p a litre.

Motorists are paying an extra 2p per litre in fuel duty from Monday, as VAT was cut from 17.5% to 15%.

Mr Woodruff, 35, who estimated his forecourt was four times busier than usual, said: "We wanted to highlight the amount of money the government is getting in taxes.

"Duty probably amounts to 60% or 70% of the raw pump price, then you've got VAT. It's a double tax.

"Our profit margin is about 2.5p per litre and we're basically paying the VAT on the customers' fuel.

"In rural Suffolk, we don't have a network of public transport so whenever the government puts up fuel duty it hits hard."



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