Pembrokeshire's hauliers are up in arms after the pre-budget report hit them hard where it hurts most - in the wallet.

Every business that uses the roads will be hit by the 2p rise in fuel duty that came into effect on Monday.

"This won't just affect large haulage firms with 44 tonne lorries, but also individuals like the plumber who uses his van for work," said Preseli Pembrokeshire AM, Paul Davies.

Industry experts estimate the price rise will hit 4.7 million company cars, 2.5 million vans, 500,000 lorries and could cost traders up to £1 billion.

"And in the long run it will affect everyone, as we'll all be paying more for our goods to be transported on the roads," added Mr. Davies.

He added that hauliers are also dismayed that the Severn Bridge toll - which costs £15.90 per lorry - won't be cut despite the VAT reduction.

"If it was deducted, then it may only be a small saving per crossing, but it would all add up in the end," said Mr. Davies.

"Haulage is a major industry in our county, employing nearly 500 people, and I have been contacted by bosses gravely concerned about the future of their businesses."