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British Treasury delays rise in fuel price tax

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July 16, 2008

LONDON—Britain's Treasury says a planned fuel tax increase has again been delayed because of soaring oil prices.

Treasury Secretary Alistair Darling says the postponement of the 2 pence (4 U.S. cent) per liter increase in fuel tax would help motorists "get through what is a difficult time for everyone."

The duty imposed on sales at the pump has already been postponed once from its original start date of April 1.

The Treasury did not give a new date for the introduction of the tax but said Wednesday it would be addressed in the government's next budget, in 2009.

Automobile Association President Edmund King said he was delighted since road users had not been looking forward to "government-inflicted pain."

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