ESCALATING fuel costs are forcing logistics businesses to freeze recruitment, lay-off staff and delay vehicle upgrades to stay afloat, according to a new study by FairFuelUK.

Speaking in reaction to the Shadow Chancellor’s support for an increase in fuel duty, the FTA is calling for the Labour Party to reconsider its approach on the issue. According to a recent research, rising fuel costs are already damaging Britain’s future business prospects.

Christopher Snelling, head of UK policy at FTA, commented: ‘FTA has campaigned relentlessly over the past few years to prevent an increase in fuel duty and so far, the government has listened: it has understood the impact a fuel duty rise would have not just on logistics businesses, but the wider UK economy. It is of vital importance that Andy McDonald, the Shadow Chancellor, understands how linked the rate of fuel duty is to the performance of the economy. Increasing fuel duty directly adds to the cost of doing business in the UK.’