A nice little earner (UK Petrol Prices)

Name: alistair

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Product:	UK Petrol Prices
Date:	01.07.00 (6 review reads)
Rating:

Advantages: Government gets revenue

Disadvantages: Looses next election

Whilst I agree that we are paying too much tax for fuel I personally think that the Aug.1st campaign will have little impact against the government and petrol companies. Anyone who needs petrol will just fill up on other days.

The problem is two-fold.

1 The government needs money to run the country (like schools, hospitals etc.) If it didn't tax petrol what would it tax?? At least with petrol there is a degree of choice as to how to travel and when. If the tax were put on clothes, food, electricity etc. there is much less choice as people need these to be able to live. The government is fairly thick skinned only paying lip service to public opinion. If lorries blocking the streets of London has no effect then motorists not buying petrol will have less effect.


2 The petrol producers have a virtual monopoly of the market and can price fix all they like as its not practicle to pop over to the continent or Ireland to fill up.

The problem wont go away. The government want the population to pay for upgrading the public transport system. They can either do this by using it more so that bus & train companies have better revenues, or by public subsidy from taxes (eg. petrol) Either way the motorist gets shafted. The only long term solution is to buy small cars with small engines and live close to your relatives and your work place. (or get a job which pays well enough so that you dont care)

Summary: