It's not enough. That’s the simple message from the boss of an Island-based haulage firm in response to a fuel duty cut in last week’s Budget.

Chancellor George Osborne announced last Wednesday there would be a 1p per litre decrease in fuel and a planned 4p increase in April has been postponed until next year.

But Mike Presneill, managing director of Sheerness firm Presneill Tipper Contractors, said the government needs to do more.

The 64-year-old says one of the problems for haulage firms is that many can’t reclaim an increase on fuel from their customers because of the speed it’s going up.

Added to the fact they can’t compete with foreign firms, which he says are still running at about 22p a litre cheaper, it’s not looking good for the UK industry.

He also said there are plans to lift “cabotage” in 2012.

Cabotage is the transport of goods between two points in the same country, and Mr Presneill explains that at the moment, foreign hauliers can only do three journeys a week in the UK.

But once it is lifted under EU law, they will be able to operate freely in this country – meaning even tougher competition for the UK’s own firms.

He said: “They don’t buy anything in this country.

“They use the toilets in the services and that’s it – they don’t put anything into the Exchequer’s pocket.”

Mr Presneill also said the haulage industry needs an essential user rebate – such as the one buses and coaches receive – because they are an unavoidable part of everyone’s life.

“Whatever you’ve got – we have moved it,” he says.

He said with fuel rising 3p a litre in the last fortnight and them getting through around 80,000 litres a month, that’s an extra £2,400 they have to find a month.

Mr Presneill, who has 16 vehicles in his fleet, said he firmly believes there’s going to be further protests about the soaring costs of everything and he said it is simply too expensive.

“It’s fine to say we all need to tighten our belts – but how when the majority of people have mortgages and cars.

“People carry a lot of finance – so how?

“It’s affecting us badly and the government should realise this.

“I’m not worried for my business but I’m concerned for every haulage contractor in this country which includes us.”