--- In [email protected], Steve Wood <st...@...> wrote:
>
> Bruce Napier wrote:
> 
> > Modified rapture - better than before, but since the difference in  
> > duty is 42.7p, they are still trying it on.
> 
> Am I right in saying that the difference in duty varies depending on the 
> base price? As I understand it there is additional VAT payable on the 
> first bit so it is not a constant number. Or are you saying that 42.7p 
> is the difference at 60p base rate? (I've not got all the numbers to 
> hand to work it out.)
> 
> Steve
> NB Bream
>

The duty was increased from 40.66 pence per litre to 42.28 pence per litre on 
1st December 2008. Adding the 5% VAT to the old price gives the 42.7p that 
Bruce is quoting, so I guess his figure is out of date - with VAT, it is now 
44.39 ppl. 

See http://www.hmrc.gov.uk/briefs/excise-duty/brief6808.htm

Whatever use the fuel is put to, the VAT rate is constant at 5% - see 
http://www.hmrc.gov.uk/briefs/excise-duty/brief4908.htm

Des Barnard
nb Farne

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