2.30 Fuel duty - The Government announces that the 3.02 pence per litre (ppl) fuel duty increase that was due to take effect on 1 January 2012 will be deferred to 1 August 2012. In addition, the increase that was planned for 1 August 2012 will be cancelled. On 1 August 2012, the duty rate for leaded petrol and compressed natural gas will change by the same monetary amount as main fuel duty, and the duty rate for aviation gasoline and rebated oils will change in proportion to the main rate. The duty differential for liquefied petroleum gas will be maintained until 1 August 2012 when it will be reduced by 1 ppl. (7)
2.31 Air Passenger Duty - Air Passenger Duty (APD) rates will increase from 1 April 2012, as set out at Budget 2011. The Government will also proceed with the extension of APD to fights taken aboard business jets, effective from 1 April 2013. Details will be set out in the Government's response to the APD consultation on 6 December 2011. As announced on 27 September 2011, APD will be cut for passengers travelling on direct long-haul routes departing from airports in Northern Ireland, effective from 1 November 2011. The direct long-haul rates will fall to the prevailing band A rate of APD. To provide a lasting solution, the Government has launched a parallel process to devolve aspects of APD to the Northern Ireland Assembly. (4, 11)
2.32 Climate change levy: relief for electricity - The climate change levy discount on electricity for climate change agreement participants available from 1 April 2013 will be increased to 90 per cent. (14)
2.33 VAT: low value consignment relief - As announced on 9 November 2011, the Government will remove the VAT relief for low value goods (below £15) sent to the UK from the Channel Islands with effect from 1 April 2012. (1)
2.34 VAT: cost sharing exemption - Following consultation after Budget 2011, the Government will introduce a VAT exemption for services shared between VAT exempt bodies, including charities and universities. (16)