A RISE in fuel duty which came into effect yesterday (Monday) is another blow for businesses, according to the Essex Federation of Small Businesses (FSB).The FSB has warned that the 2p increase in fuel tax is yet more bad news for businesses reeling from

A RISE in fuel duty which came into effect yesterday (Monday) is another blow for businesses, according to the Essex Federation of Small Businesses (FSB).

The FSB has warned that the 2p increase in fuel tax is yet more bad news for businesses reeling from the recession.

Essex FSB spokesman for business support, David Miles, said: "The Government's decision to go ahead with its 2p per litre increase in fuel duty from today will add many thousands of pounds to the operating costs of every business in Essex.

"At a time when many businesses are struggling to keep costs down, as banks are still reluctant to provide financial support for firms with cash flow difficulties, this increase in fuel costs is a big blow and one which the Government could easily have avoided.

"Not only do we have the 2p increase in fuel duty coming in this month, but there is also the planned increase in VAT in December when it is due to go from the current 15 per cent up to 17.5 per cent which again will mean higher fuel costs for businesses.

"It seems that the Chancellor is determined to boost his tax revenues even if that means causing further problems for Britain's businesses which in turn means the recession is likely to continue for longer and be deeper than would otherwise be the case.

"Essex FSB is currently collecting data from businesses on how this increase in fuel duty will impact on them and we hope local firms will send details to Essex FSB regional organiser Keith Brown by e-mail to keith.brown@fsb.org.uk with 'Fuel Duty' in the subject line.

"In the meantime FSB members can take advantage of the FSB Fuel Card which gives preferential rates on fuel through popular filling stations including Esso, Texaco and Shell."

The FSB represents more than 215,000 business people across the United Kingdom and is the largest single organisation representing business interests in the country.

The Essex Region of the FSB represents small businesses in the areas covered by Essex County Council and the London Boroughs of Havering and Redbridge.

More information on the Essex Region of the FSB (Federation of Small Businesses) can be found at www.fsb.org.uk/essex