Spring Budget 2024: The government is to maintain the current rates of fuel duty for a further 12 months to help support people with the cost of living.
The measure, which was announced in the Spring Budget, will save the average car driver £50 in 2024-25 through the extension of the temporary five pence cut and the cancellation of the planned increase in line with inflation for 2024-25.
According to the government, this support is being maintained at a time where many other European countries have ended their fuel duty cuts, and represents around £13 billion of support over the three years from it being introduced.
Following a review, the government will also maintain the difference between road fuel gas and diesel duty rates until 2032.
Bradley Post, managing director of RIFT, said: “Where tax cuts are concerned, the Chancellor has said a lot while doing very little for the average household. A further freeze on fuel duty will be welcomed by those reliant on their cars to earn a living, however, it’s also fair to say that the estimated benefit is underwhelming, to say the least.”
Grant Klein, public sector transport leader at PWC, added: “There are no measures in the budget to incentivise the move to electric vehicles; in fact quite the opposite with a further freeze to the planned 5p increase in fuel duty on petrol and diesel. This is at a time when growth in electric vehicle sales has slowed and with road transport still representing 23% of all carbon emissions in the UK.”
