Motorists are planning to cut their spend on grocery shopping and household goods as they face a 8p a litre fuel duty rise next year, new research from the AA reveals.
A car-dependent nation will be forced to make savings elsewhere to afford the increase to their fuel bills, the AA Populus study suggests, with tomorrow’s Autumn Statement expected to confirm a 3p a litre increase in fuel duty planned for January 2012.
According to 16,647 AA members, rising petrol and diesel prices will force 18 per cent to cut back on food shopping, rising to 23 per cent among women.
The hardest hit will be young drivers aged 18 to 24, with 28 per cent cutting back on groceries and 36 per cent who will ditch plans to buy furniture, home entertainment and other household goods in the near future.
AA members in Wales look set to suffer most with 22 per cent cutting back on groceries and 27 per cent on household and luxury goods. They are followed closely by drivers in the East Midlands, respectively 21 per cent and 25 per cent.
Almost two-thirds of the survey panel say they will cut back on car use if the fuel duty rises go ahead next year, rising to 68 per cent-69 per cent among unskilled workers and pensioners. More drastically, 6 per cent of AA members said they would have to sell or take a car off the road, rising to 8 per cent among unskilled workers, pensioners and drivers in Northern Ireland.
One in five of the UK sample said they would have to downsize a car, while 6 per cent will switch to two wheels, particularly among unskilled workers (10 per cent).
“Fuel duty contributes more than 5 per cent to the total UK tax-take, including council tax and income tax. Governments tell us to drive less when they need us to drive more. So who really is car dependent? This survey shows that, if fuel duty increases go ahead next year, it will hit those who can least afford it,” says Edmund King, the AA’s president.
