Budget: What it will mean for people in Leicestershire

The Chancellor offered cheer to pub-goers and motorists in yesterday's budget.

An expected 3p rise in beer duty was dropped in favour of a 1p cut in the cost of a pint.

George Osborne said the annual "inflation plus two per cent" duty escalator was being scrapped for beer but would remain in place for wine, cider and spirits.

Stephen Gould, managing director of Leicestershire brewery Everards, said the duty cut was positive news.

He said: "This is fantastic news, both for our licensees and their customers.

"We have been involved in the campaign against the duty rise from the start and are delighted it has been successful.

"The pub trade has been a challenging industry now for a number of years and the anticipated rise in duty would have made life extremely difficult for all employed within it."

Kieran Lyons, manager at The Western pub, in Leicester's West End, said: "I'm glad the duty escalator for beer has gone and I'm sure our regulars will be equally pleased.

"The only problem is that, because the industry expected a rise in beer duty, wholesalers have already put up their prices in anticipation.

"It's surprised everyone I think.

"But what it does mean, hopefully, is that in April we at least won't have to put up the prices of our beers but can keep them as they are."

Motorists also received welcome news from the Chancellor with his announcement that the fuel duty increase planned for the autumn has been dropped.

The rise would have put about 3p a litre on to the price of petrol and diesel at the pumps.

Sarah Evans, 28, a teacher from Wigston, said: "It's a nice surprise, I guess.

"The cost of petrol is already high enough without another increase in duty.

"Since I've been driving, the cost of filling up my car has gone from £30 to £60.

"With a two-year-old daughter and family to look after, I've got better things to spend my money on.

"I'm not a moaner and realise the Government has to find its revenue somewhere. I just wish maybe it could leave fuel alone for a bit."

Randip Bath, manager of the independent Knighton Self-Service Station, in Welford Road, Leicester, said: "Everyone's so used to fuel duty going up every Budget, so it is a welcome move.

"A 3p rise in fuel duty usually means a 4p rise at the pumps.

" We can't compete on prices with the supermarket filling station and my worry was that this increase could really drive customers away.

"My only concern is the increase has only been postponed and we'll see it soon enough."

Gary Rodwell, managing director of Leicester Heavy Haulage, in Ellistown, said: "It's what the Road Haulage Association has been campaigning for so the decision to scrap the planned increase wasn't completely unexpected.

"However, it's certainly good new, especially for us as some of our trucks only do three miles to the gallon."

The Chancellor also announced the amount at which people will start paying tax will rise to £10,000 a year.

At present, people can earn £8,105 without paying tax, a figure that will rise to £9,440 on April 1. Mr Osborne is expected to say it will increase to £10,000 in April 2014, a year earlier than the goal set when the Government took office.

The announcement will come as a boost to lower earners.

Martin Traynor, chief executive of Leicestershire Chamber Commerce, said the move underlined the Government's pledge to help hard-working families.

"This will benefit many households," he said.