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DUTY REDUCTION IN RURAL UK?

20th January 2011, Page 6
20th January 2011
Page 6
Page 6, 20th January 2011 — DUTY REDUCTION IN RURAL UK?
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The government has confirmed it is considering reducing fuel duty in rural areas of the UK, but has not announced exactly how and when the policy would be introduced.

A Treasury spokesman tells CM there is no timetable as to when the policy, which was first mooted by the government in July 2010, might be in place.

The government is looking at a pilot scheme that would deliver a maximum of 5ppl in duty discount in the Inner and Outer Hebrides, the Northern Isles and the Isles of Scilly.

It is in informal discussions with the European Commission as any scheme would have to be consistent with EU rules on state aid and gain unanimous Member State approval. The Treasury is unable to say whether it would be rolled out to other UK regions.