Shadow of 2000

More than a decade later, however, there has been no repeat of the protests in spite of fuel prices at levels that those who manned the blockades in 2000 would find hard to credit. Yet still prices surge ahead with no sign of respite given that Libya is in a state of virtual civil war and political ferment engulfs much of the rest of North Africa and the Middle East.

In such a volatile situation, the Government should be watching the public mood carefully. A new survey which shows 52 per cent of Britons saying they are ready to take action on fuel prices – more than on any other issue – demonstrates the level of anger. Nor is the anger likely to recede as the holiday season approaches, considering that airlines and travel companies are already imposing huge surcharges to compensate for the price of aviation fuel.

The Government may have little influence over world oil prices, but it does have control of the UK tax system – and, with tax accounting for two thirds of the price of petrol, the fact is that that price is being effectively set by the Government.

George Osborne may be wary of setting any precedent for tax cuts at a time when reducing the public-sector deficit is all important. But the Chancellor is also depending on the private sector to bring growth back to the economy and that is not going to happen when it is hampered with huge costs, one of the most important of which is fuel. Unless the Chancellor takes action in next month’s Budget, therefore, the shadow of the 2000 fuel protests is only going to grow.