Call to double rural fuel rebate
An Isles MP has called on the Chancellor to increase the rural fuel rebate, which takes 5p off a litre of fuel on the islands, to help locals cope with rocketing petrol and diesel prices at the pumps.
The rural fuel rebate was introduced in 2012 and, in light of current escalating prices, Na h-Eileanan an Iar MP Angus MacNeil has written to the Chancellor of the Exchequer Rishi Sunak demanding the first increase in a decade, from 5p to 10p.
The SNP MP from Barra said: ‘I am writing to the UK Government calling on them to act quickly and increase the rebate from 5p a litre to 10p a litre.
‘I hope the Chancellor listens and takes into account the many difficulties in rural and island areas with rising fuel costs.’
Mr Sunak has also been accused of not doing enough to help the poorest as food and energy costs continue to spiral at their fastest rate for 30 years.
In his spring statement, Mr Sunak announced a 5p cut in fuel duty and changes to April’s National Insurance rise by increasing the point at which workers have to start paying it.
But with inflation predicted to hit more than eight per cent by end of the year and UK living standards expected to plunge quicker than at any time since the 1950s, many are calling on Mr Sunak to do more.
David Richardson, the Federation of Small Businesses’ Highlands & Islands development manager, said while a number of the measures in the Chancellor’s statement will help smaller firms, his organisation’s welcome for them is more muted than it would have liked.
‘For while they will undoubtedly buy Scotland’s small businesses a little breathing space, much more could have been done to help them absorb their rapidly rising energy costs,’ he continued.
‘With fuel poverty in the Highlands and Islands perhaps the highest in the UK, everyone here is feeling the pinch, but it must be remembered small businesses have none of the protections of households, nor the negotiating power of big businesses.
‘While beneficial, an opportunity was missed to bring real help to the countless small businesses currently being overwhelmed by massive energy price hikes.
‘Action is still required on this front now, or we face witnessing great businesses that struggled through the pandemic and survived, going to the wall just as things should have been getting better.’