Spokesman for the FairFuel UK lobby group Quentin Willson has welcomed the chancellor's decision to scrap a planned fuel duty rise later this year, but insists that this is not enough to restore drivers' confidence.

George Osborne used his Budget announcement to confirm that a 3p per litre hike scheduled for September 2013 would no longer go ahead.

In his blog, Mr Willson said the rise should never have been proposed in the first place and far more assertive action is required to ease some of the immense strain placed on motorists.

"There will be widespread disappointment that the cancellation of this duty rise gives [drivers] no immediate relief from climbing fuel prices," he wrote.

"The government needs to cut duty substantially to get the economic growth we all need."

He is not alone in his view, as AA president Edmund King also believes that significant price reductions are required at fuel stations up and down the UK.

Mr King suggested that people would react to the chancellor's announcement with relief, rather than joy.