AN extra £100,000 a year.

That is what the Government’s 2p rise in fuel duty tomorrow will cost one York haulage company.

Millfield Haulage Ltd, which is based on the Millfield Lane Industrial estate, at Nether Poppleton, operates ten articulated lorries, six 18-tonne rigid lorries, two seven-and-a-half tonne lorries and two vans.

Owner and managing director Edward Beat said although the average motorist may not feel the increase, for a business like his, which uses 10,0000 litres of fuel a week it would be a major problem.

Mr Beat said the increase in duty was “colossal” for a firm like his.

His comments came after York and North Yorkshire Chamber of Commerce called on the Government to scrap the hike.

Mr Beat said: “We can’t pass it on to the customer, as the customer won’t pay increases, so it is very hard to put a surcharge on to cover it.

“What difference will it make to me? It’s £2,000 a week extra, but unless the Government decides to make us a special case, there’s nothing we can do about it. For a small company like myself, it’s an extra £104,000 just by 2p a litre.”

A York and North Yorkshire Chamber of Commerce spokeswoman said that even the average motorist would be forced to spend on average an extra £1.16 for every tank of petrol.

She said the move will cost drivers an extra £36 million in the next month alone.

The chamber is concerned that the fuel hike is being introduced at an inappropriate time and as the economy begins to recover the Chamber would like to see the Government introduce initiatives that encourage growth rather than taxes that could potentially hinder it.

Shaun Watts, president of the Chamber, said: “The increase in fuel duty is totally unacceptable.

“Despite signs that the economy is improving, many businesses are still struggling and are in no position to absorb this increase.

“The chamber is calling on the Government to scrap the increase in fuel duty and look at more ways of helping businesses rather than increasing costs.”

A spokeswoman for the Treasury said this year’s Budget had announced that fuel duty would increase by 2p per litre on 1 September 2009, and then by 1p per litre in real terms in each year from 2010 to 2013.

She said: “After this change, fuel duty will be lower in real terms in 2013-14 than in 1999.

“By using fuel duty to support the public finances, the Government will also reduce UK CO2 emissions by two million tonnes per year by 2013-14.

“Had the Government increased fuel duty in line with inflation since 1999, it would now be over 60p per litre.”