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Osborne 'set to freeze' fuel duty

Conservative rebels said they expect the Chancellor to freeze a planned 3p rise in fuel duty for another three to six months. The Government has defeated a Labour motion to postpone the duty rise by majority of 48.

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Consumer group's plea to Chancellor over fuel duty rise

Chancellor George Osborne is under renewed pressure to abandon a planned increase in fuel duty, amid warnings that the rising price of petrol was putting household budgets under unprecedented pressure.

As MPs prepare to vote tomorrow on the planned 3p a litre increase due in January, the consumer organisation Which? said more people than ever before were being forced to cut back on motoring costs.

Chancellor George Osborne. Credit: Olivia Harris/PA Wire/Press Association Images

It said its latest polling found a record 85% of people expressed fears about rising fuel prices - a nine point increase since July.

Those saying they would cut back on motoring costs rose seven points to 39% - another record high - while one in 10 said they had had to dig into their savings to cover their motoring costs.

Overall, one in three people said they were finding it difficult to live on their current income, with 33% also cutting back spending on the essentials last month. Getting on for half - 44% - said they were planning to cut back on food and groceries in the coming months.

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