Business leaders in Birmingham and Solihull expressed concern and disappointment today as yet another hike in fuel prices kicked in with more planned over the next four years.

Will Rogers, Policy Adviser at Birmingham Chamber of Commerce and Industry (BCI), said: "In this current recession it is a nightmare scenario for fleet managers who have already resorted to down sizing their company cars and buying cars with lower CO2 emissions and better fuel consumption.   

"The 2p increase in fuel duty with VAT added is actually an increase totalling 2.3p.  In just a few months in December there will be yet another increase when VAT reverts back to 17.5%."

He added: "At the beginning of the year petrol was roughly 85p a litre but with further planned rises of another penny on fuel duty in each of the next four years, this would mean drivers, on average, having to find an extra £60 a year for their petrol.  

"With a public transport system that is still inefficient, driving is fundamental to millions of people and for company car drivers already struggling to cope with the third increase in nine months, it is outrageous that fuel costs are heading towards the £1.20 prices of last year.

"We urge the government to reconsider further fuel duty increases, which could cripple business transport for companies in the West Midlands."