A recent study has shown that those with lower incomes are losing their mobility faster than those motorists who are better off. This is due to the increasing cost of motor tax, especially on fuel. Chancellor George Osborne has recently been urged by the AA to go back to the previous system where fuel duty was set on an annual basis.
The survey was conducted by the AA and it showed that poorer drivers were suffering the most from high petrol costs. In May 2011 the survey of over 11,500 people showed that many people were cutting back on the use of their cars, the people who are doing this the most were those in the lower income bracket.
Nearly 30% of people surveyed said that they had a set amount that they allowed themselves to spend on petrol, and with prices around 17p more expensive than they were this time last year motorists are being able to go less far for the same amount of money.
Edmund King is the President of the AA and in a letter to the Chancellor he wrote, “The car is a necessity for most people as it allows them to get to work, do their shopping, and receive adequate healthcare. It is also a way for them to have a higher quality of life. We are disappointed that the increase in fuel duty happened, despite the fact the price of fuel was already rising due to a higher cost of oil. As a body we recognise the governments need to bring in more tax revenue through petrol but lowering the cost of petrol will stimulate economic activity.”
