UK NEWS

FUEL PRICES 'COULD HIT RECRUITMENT'

Fuel prices could have effect on companies recruiting staff

Monday June 16,2008

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Rising fuel costs are having a "dramatic" effect on the economy, with most smaller firms warning it will be difficult to recruit staff in the coming year, according to a new report.

The Federation of Small Businesses (FSB) said a survey of 9,000 firms showed four out of five were worried the cost of fuel would hit their expansion plans.

The business group said the findings made "worrying reading" and called on the Government to use higher than expected tax revenues from North Sea oil to cut fuel duty.

FSB chairman John Wright said: "Small businesses are reaching breaking point and if something is not done about rising fuel prices very quickly then we will have a major economic crisis on our hands.

"The UK's 4.5 million-strong small business community simply cannot cope with the cost of fuel rising at these rates. The problem is affecting every type of business in every area of the country.

"The most frustrating thing is that the Government can do something about it.

"Its estimate of the cost of North Sea oil in the last Budget was well below the actual cost, which means that tax revenues have been well above expectations.

"Why can't they use this extra money to reduce fuel duty and ease the pain for the millions of small businesses that keep the UK economy afloat?"

EXPENSIVE PETROL IS GREEN PETROL

16.06.08, 11:00am

"Why can't they use this extra money to reduce fuel duty and ease the pain for the millions of small businesses that keep the UK economy afloat?"

It's rather fortunate for the government that the petrol prices are rising. It's rather fortunate that there are strikes which are pushing up the price. The wars are also helping push the price up. The high price is helping the push for a war on Iran, get their oil

All without having to do anything obvious like raising fuel duty.

I am afraid it's all good news for the government. They know they can never get re-elected in a fair vote so have nothing to loose.

By the time the elections arrive it will be all electronic so they will get in with a good majority. The problem with the Irish vote was not enough electronic voting machines.

By that time people will no longer have this space to debate.

• Posted by: Wayland • Report Comment