IT is extremely tough being a traveller this New Year.
If you take the car, a litre of fuel is rising this week alone by 3.5p, due to Government tax rises. A similar tax rise is expected in April, and in between the price of the fuel itself is likely to continue going up.
In the New Year of 2010, a litre of diesel was just under £1.10; 12 months later it is just under £1.30.
It is interesting to note that on the high street, which is hugely competitive, retailers are themselves absorbing the 2.5 per cent VAT rise or are planning to increase prices gradually.
On the forecourt, the rise is going straight on the price – motorists, and particularly the haulage industry, is literally being held over an oil barrel.
In the largely rural North-East, at a time when local councils are cutting back on bus subsidies, these rises will be keenly felt.
However, we acknowledge that the Government has to somehow raise money to reduce the nation’s indebtedness.
If you take the train, you face above inflation rises in ticket prices. An anytime return to London from this region will cost £187 – a figure that is now so high that, without competition from air routes, it must harm small business up here. Matters are not helped by apparent confusion at National Rail Enquiries which yesterday afternoon told our reporter that an eye-watering £275 was the cheapest anytime return from Darlington to King’s Cross for anyone wanting to travel on Thursday.
The rail rises are a political choice: the Government, like its predecessor, wants to reduce the state subsidy to railways. Therefore passengers must pay more.
Again we acknowledge the Government’s difficulties in attempting to balance its budget. Any method that it employs will not be popular.
However, rather than these bits-andpieces rises which hit hardest at the poorest in remote areas and do most damage to businesses in the most distant regions, isn’t an across-the-board rise in Income Tax fairer and more transparent?
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