HIKING fuel duty by 4p a litre has been described as ‘nothing short of daylight robbery’ by one garage owner.

AUSTERITY measures within the 2012 Budget revealed today will see the man in the street hit by indirect tax increases.

COMPETITION or trading standards laws could be used against garages which add a profit margin to the increases in fuel duty due next year.

MOTOR tax will be abolished from 2008 and instead fuel duty will increase from 6.8p a litre to 21p.

TREASURY minister Lyndon Trott said that scrapping motor tax and increasing fuel duty was a move in line with green States policies.

TAXI drivers say that the proposed hike in fuel duty could put drivers' livelihoods at risk.

THE issue of abolishing motor tax and increasing fuel duty should be back before the States in September.