The last minute gate crashing of a regular meeting of local industry execs and promoting it as a way to save our energy crisis is absolute rubbish. Economically the issue is the overall tax burden on fuel, security of our source and cost of supply. Gordon stop reading Enid Blyton and Listen

Wayne, Newcastle,

How can tax be "relaxed" without Parliament's approval?

Could other taxes be "relaxed" perhaps on the whim of the PM and Chancellor?

Surely this is a dangerous state of affairs and potentially open to a lot of abuse?

N Reed, Truro, UK

The Oil industry has manufactured the crisis for this very reason.
Of course the high fuel prices will only increase investment in alternatives.
I say leave it alone, the prices are high enough now so that the public are now changing behaviour, the very reason for the taxes in the first place.

Tony, Belfast,

Re Hauliers and fuel - Can a reading and enlightened accountant please tell me if the cost of fuel is directly offset as an operating cost (ie tax deductable) If this is so then the cost of fuel is more about cashflow than profits, and that is a very different argument

GG

Geriatric George, Lichfield,

The only way the government can cut fuel taxes and reduce the total tax take is to reduce spending. If the govenment was able to increase the efficiency of public services and had the guts to cut costs the way industry has had to over the last ten years there would be plenty of scope to cut taxes.

dave, blackburn, UK

It figures that the answer is to offer a tax break to the corporations rather than doing what we all know would cut the cost at the pumps - cut the fuel tax on all of us! Business needs the break. Us motorists have hardly noticed the cost of tax have we?

Rich, Falmouth, Cornwall

Considering it was Brown's own goal tax regime that has prevented exploitation of smaller fields to then call a hasty meeting nearly a decade on to relax controls and call it an initiative is a sick joke made even sicker by the fact that in global terms the increase amounts to a drop in the ocean.

philip, Ipswich,

I can't really see the problem.

Surely this is the opportunity to show everyone how green we really are. Let the moaning minnies get on their bikes and pedal!

John Rawlins, Valencia, Spain

Of course he'll cut tax for the Companies, he's raking it in off Joe public.
We are in effect subsidising the oil companies.
The only ones benfiting from this deal is the Government and the Oil Companies.

Phill, The Wirral, England

The Government have a nerve to go to oil companies for help when it is their own greed which has the British Hauliers struggling to keep the businesses going and the public not being able to afford to live. Everything comes on a lorry and the Government work for us, not the other way round.

Tony Barker, Holbeach, UK

What a Joke, this oil is sold under the free market, even Saudi Arabia could buy some if they wanted! Increasing production in the North Sea will have zero effect for British consumers unless the government introduces a protectionist policy of British oil for British people.

Adrian, Washington, ENGLAND

The oil companies are already making billions in profits - they don't need to be incentivised to make even more profits. What the electorate wants is a cut in fuel duty. We know that 70% of the price we are paying is tax - which goes straight to Gordon Brown to waste on failed social engineering.

Donna Walker, Effingham, England

Several years ago the hubristic Brown taxed the same companies on their "windfall" profits - they (oil companies) warned that such retrospective measures would lead to a decline in investment. Oh the chickens come home to roost! Brown is completely incompetent and he must go, now!

James, Mortain, France

Hands up all those who think Gordon is playing to the audience. Have you noticed he is involved in all good news stories. If that is all the spin doctors can come up with for there fees then its time to change them. We can all see right through it after 10 years. Please stop insulting us

Peter Mc, antwerp, belgium

Presumably this small concession from a Government in terminal decline requires this production to go to UK markets only! Otherwise it will not make a blind bit of difference. What has happened to Brown's championed global economy? Or are we like the French - pick and choose what we want.

William, London, UK

What a pathetic gesture by Brown and darling. It is red herring to con the electorate into believing they are able to solve the problem. Britains oil production is miniscule in comparrison to the big producers and is likely to stay this way for ever.

Mike O Connor, plymouth,

PRT was applied to old fields (pre-1993), many are now at low oil rates. Little incentive to invest in them for improvement, as you'd pay PRT tax. Better return on investment on new developments or outside of UK instead.
Abolishing PRT improves the economics of getting more out of old oil fields.

James, Aberdeen,

Does anyone think that if someone came up with a cheap alternative fuel tomorrow that cost 10p a gallon, these money-grabbing politicians wouldn't add some sort of tax to make the cost up to present levels? They don't want us to have the freedom to move around -- it's all about control.

Paul Downes, Milton Keynes, Bucks

This looks like a classic case of "being seen to do something" - sadly it won't make a blind bit of difference frankly to the big picture. Nice try Gordy. Postpone the 2p incease, and just lower duty even if its by a small amount..At the moment the Gov't is raking it in thanks to the oil price rises

tom, Loughborough,

The only fuel tax should be VAT. Any other tax just distorts the market.

Brian Gilbert, HAMPTON, Middx

Its no good Gordon & Co trying to boost output of a few thousand barrels when the real issue as everyone knows is the 'Tax Take' we all have to suffer when filling up. A 25p cut per litre in fuel tax at the very least is required. Does Gordon not realise he is adding to an inflationary recession?

Mike L, Manchester, UK

id doubt this will make it cheaper at the pumps
WAKE UP, time for a national fuel protest!!!!!

ivan, London, Europe

It's hardly going to make a difference to world oil prices.
Additional output might help Britain's trade balance which in turn will help to improve our exchange rate.
The best means of dealing with the oil shortage is to reduce consumption not trying to increase supply. Sounds like panic measures.

Paul Millsom, Worcester, UK

Stuart is right, the high oil price is incentive enough. Moreover, what is the government doing with this windfall of royalties?

paulo, coventry, uk

What we would like is a tax cut on petrol/diesel so the effect is at the pump and NOT for the oil companys.
WE want a tax cut so we can afford to get to work.
reduce tax to 70% and proplem solved over night ..........

dave , peterborough,

Surely the high oil price is incentive enough to invest in extracting oil? The only effect of giving the producers a tax rebate is to boost their profits at the exchequer's expense, and will have little impact on the price paid by consumers (either directly at the pump or indirectly in the shops).

Stuart, London,