McLaren demands action on rural fuel price rises

With their members facing rapidly rising fuel bills, NFU Scotland yesterday called on the UK government to act to reduce the burden that record fuel prices are now imposing on the rural economy.

Specifically the union wants Westminster to scrap any plans to increase fuel duty in April and it would like to see the development of a "fair fuel stabiliser" to bring an end to soaring prices.

The union is also calling on the coalition government to move quickly on its promise to look at variable fuel duty rates aimed at addressing the disproportionately high fuel prices found in more remote areas of the country.

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Union president Jim McLaren said the approach was not just about farmers.

"It is about the improving the wellbeing of Scotland's rural economy," he said

"The blunt truth is that the current surge in fuel prices to record levels, compounded by higher levels of VAT, is hitting hard all those who live and work in rural areas.

"The creation of a fair fuel stabiliser to regulate returns from fuel duty as oil prices increase would make a major difference to small businesses and rural populations."

McLaren claimed the use of a stabiliser was on the radar of some politicians when they were in opposition and who are now in government.

He added: "This gives them the opportunity to deliver on a policy that they know will make a real difference to families and businesses at this time.

"Similarly, government has raised the prospect of a trial in rural areas of a reduced rate of fuel duty to recognise the higher fuel prices found in more remote parts. With pump prices in some regions of Scotland already approaching a staggering 1.50 per litre for diesel, government must remember that in rural areas, the private car is a necessity, not a luxury."

The union boss said that politicians only had to look over to the Continent to see the measures to reduce fuel taxation in remote rural areas. "Countries such as France, Portugal or Greece, have such schemes and their experience should be transferred to this country."