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Anger as Benn says higher fuel prices are good for us

Paul Waugh, Deputy Political Editor
14.07.08

Environment Secretary Hilary Benn came under fire today for praising the benefits of high petrol prices - as it emerged that the Treasury is in line for a £15 billion oil tax windfall.

Mr Benn defended road tax rises and said oil prices were helping the planet by forcing motorists to drive less.

His remarks came as Oil & Gas UK forecast that an extra £5 billion will flow into Treasury coffers on top of the £9.9 billion predicted by Chancellor Alistair Darling. Mr Darling based his calculations on $83 a barrel. On Friday the oil price reached $147.50.

Mr Benn warned that high petrol costs were a "fact of life" that people had to get used to. "I think we are seeing people thinking more carefully about the journeys they make," he told BBC1's The Politics Show.

"Making the transition now from a high-carbon, oil-dependent economy to a low-carbon future is absolutely essential and the countries that do it first will be in a stronger position."

He also said proposed vehicle excise duty reform would "encourage all of us to choose less-polluting vehicles". Paul Watters, AA head of public affairs, said: 'Motorists will be bitterly upset to be told their pain is a good thing."

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