14 ÓCentre for Economics and Business Research the highest income decline. In other words, the poorest 10% who use vehicles spend more than twice as much of their income on fuel as the richest 10%. This means that a rise in fuel duty is regressive. Table 2 Proportions of expenditure on fuels by income decile Proportion of total spend for those who have access to vehicles Proportion of total spend for all including those with no access to vehicles Lowest ten per cent 7.2% 2.5% Second decile group 5.9% 3.2% Third decile group 4.9% 3.5% Fourth decile group 5.0% 4.0% Fifth decile group 4.8% 4.0% Sixth decile group 4.7% 4.0% Seventh decile group 4.6% 4.2% Eighth decile group 4.9% 4.6% Ninth decile group 4.3% 4.0% Highest ten per cent 3.3% 3.1% Source Family Spending Survey ONS 2019/20: Family spending workbook 1: detailed expenditure and trends We have calculated the impact on family budgets of a 12p rise in fuel duty by income decile. This is shown in Table 3. The amount rises from £171.97 a year for the poorest group to £461.86 for the eighth income decile. Interestingly the richest income decile spend less on fuel than the two immediately lower income deciles. Table 3 Impact of a 12p rise in fuel prices on family budgets by income decile assuming 2019/20 patterns of fuel usage £ per week £ per year Lowest ten per cent 3.31 171.97 Second decile group 5.10 265.32 Third decile group 6.71 348.85 Fourth decile group 7.56 393.07 Fifth decile group 7.84 407.81 Sixth decile group 8.03 417.64 Seventh decile group 8.60 447.12 Eighth decile group 8.88 461.86 Ninth decile group 8.88 461.86 Highest ten per cent 8.79 456.94 Source Cebr calculations based on Error! Reference source not found..
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