RISHI Sunak has been warned a Budget hike in fuel tax will hit vital pandemic home deliveries.
A rise of 3p a litre would raise £1billion for the Treasury — but also cost van drivers a punishing extra £250 a year to fill up.
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Campaigners claim it would be the “ultimate betrayal” for delivery workers who have kept supplies flowing in lockdown.
It would also lead to price increases for online sales — with nine in ten households now dependent on home deliveries.
The Chancellor is considering axing the nine-year freeze on fuel tax in a bid to help pay off the £280billion lockdown bill.
Howard Cox, of FairFuelUK, said: “The impact on home deliveries of a fuel duty rise will be devastating and slow our post-pandemic economic recovery.”
Mr Sunak is also considering a rise in corporation tax.
But John Longworth, of the Independent Business Network warned: “At a time when the country is facing its greatest economic crisis in living memory, the Government should be looking to cut corporation tax rather than raising it.”