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Protests and challenges over fuel tax

Updated on 02 July 2008

By Bridgid Nzekwu

The government comes under pressure from lorry drivers and rebel MPs over the cost of diesel and fuel taxes for polluting cars.

The government will resist a challenge later today from rebel Labour MPs and the opposition to exempt older but more polluting cars from increases in Vehicle Excise Duty.

The Tories say 2.3m families will have to pay between £100 and £245 extra each on cars they've bought since 2001.

MPs and some green groups say taxing retrospective purchases give environmental taxes a bad name but the government insists the changes to VED will encourage the use of more fuel-efficient cars.

The row came as lorry drivers staged another drive-by protest in central London to demand lower fuel tax.

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