PM plays down 'fuel stabiliser'

The Prime Minister has played down the chances of the introduction of a "fuel stabiliser", causing anger among business groups and campaigners.

Petrol prices are at a record high, and there are calls for David Cameron to look into the idea he championed during his election campaign.

The concept is to peg fuel duty to the price of oil so that when the price of oil goes up the proportion of tax goes down, and vice versa, maintaining a steady price for consumers.

Road haulier Peter Carroll, 50, the founder of Fair Fuel UK, said: "I know that the government has serious budget problems to address. However, in this case, the medicine is going to kill the patient."