Millions of people in the UK are beginning to "feel the pinch" in their personal finances due to spiralling fuel costs, Angela Eagle has said.
At the start of today's opposition day debate Eagle, shadow chief secretary to the Treasury, said the cost of petrol is a problem for "already-stretched household budgets, making the squeeze on living standards even worse".
"The cost of fuel has risen seven pence a litre since the beginning of the year," she said.
"The AA has pointed out the £6 gallon has arrived for the first time ever."
She claimed that households are confronted with "the biggest squeeze in their living standards for 80 years".
"People already financially stretched by this government's slash-and-burn approach now find themselves having to cope with a sudden, sharp increase in the price of essentials like food, energy and fuel," Eagle told the House.
She said the coalition is recklessly gambling with the nation's future with cuts to public spending that are "too deep and too fast".
Treasury minister Justine Greening responded with a robust attack on Labour's record in office.
She accused Eagle of moaning and making "insubstantive comments" that do not help motorists.
Greening said Labour's motion is a smoskescreen.
"They have no plan to tackle the deficit. This debate is all about trying to divert attention," she told the House.
Greening said rising oil prices and the knock-on effect on other goods "is leaving many people out of pocket and that families up and down the country are finding it hard to make ends meet".
She rejected Labour's call for a reducation of VAT on fuel as "unrealistic, unworkable and disingenuous".
Andrew Percy (Con, Brigg and Goole) said his constituency is a logistics hub and home to many transport companies who face laying off staff because of the rising costs of petrol.
He said his constituents are hit from all sides, with little public transport, considerable distances to travel to and from work and also traffic problems.
Percy pleaded with ministers to listen to the "genuine concerns" of voters and reminded his party that their plan for a fuel duty escalator should be implemented.
At prime minister's questions today David Cameron said he "knew the pain people were feeling" because of rising fuel duty.
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