Cap of 20mph in towns and cities and 60mph on motorways would cut fuel demand and combat rising prices, IPPR says
Britain should lower speed limits for drivers as part of a package of measures to reduce the impact of the Iran war on consumers, a thinktank has said.
Capping legal speeds at 20mph in towns and cities and 60mph on motorways would help reduce fuel demand and combat soaring oil prices triggered by conflict, according to the Institute for Public Policy Research (IPPR).
The institute said ministers should also temporarily cut fuel duty by 10p and bring in a new energy price cap of £2,000 a year to support consumers, while warning that inflation could peak as high as 5.8% if nothing is done to prevent it.
“The UK cannot afford to sit back and let another energy shock drive up inflation and damage the economy,” said William Ellis, a senior economist at the IPPR. “The UK economy and public finances are expected to take a significant hit from the Iran conflict, regardless of whether the government intervenes.”
