NEW: Got questions about energy? Put them to Gary and Andrew from MSE's Utilities team during our energy-themed 'Ask An Expert' event. Check back here from Tuesday 9 August, 12pm

5p/litre off fuel should result in 6p/litre reduction at the pump

My mathematical brain sees that, as a result of the 5p/litre reduction in fuel duty (which would have had 20% VAT payable on it). Because the VAT on fuel is calculated on the cost of it including the fuel duty, It should actually cause a reduction of 6p/litre at the pumps. including the 1p VAT no longer deducted.

However, I am not a betting man!

Bill

Replies

Sign In or Register to comment.
Latest MSE News and Guides

Homes, hornets & high heels

This week's MSE Forum highlights

MSE Forum

Kids eat for 'free' or £1 this summer

Little ones can enjoy hot meals for less

MSE Deals