HMRC has confirmed its fuel duty rates for the remainder of the year, with 16 bands in effect until December 31. Chancellor Rachel Reeves has announced that the Labour government will freeze fuel duty for the rest of 2026.
Reaction from RAC
RAC head of policy Simon Williams welcomed the decision, stating: "Drivers are struggling with the cost of filling up, especially now petrol has reached an Iran War high of 158.73p a litre, so the decision to keep the 5p fuel duty in place for the time being is very welcome."
He added: "The Prime Minister's announcement that duty won't go up this year means a penny won't go back on in September, followed by a further 2p in December. The big question is now: what will happen next year and will drivers be hit with the full 5p in one go in the spring, will a new phasing be agreed, or will the Government even abandon an increase altogether?"
HMRC Statement
HMRC said: "This measure will extend the temporary 5 pence per litre (ppl) cut in the rates of Fuel Duty, first introduced at Spring Statement in March 2022, until 31 December 2026. The measure also provides a further reduction to the rebated rate for gas oil (red diesel), biodiesel and bioblend by 3.7 ppl from 15 June 2026 to 31 December 2026."
"The legislative default will be for rates to return to the levels set at Budget 2025 from 1 January 2027, but the government will confirm final rates at Budget 2026."
Full List of Fuel Duty Rates
- Unleaded petrol: 52.95p per litre
- Light oil (other than unleaded or Avgas): 62.67p per litre
- Aviation gasoline (Avgas): 36.29p per litre
- Light oil furnace fuel (delivered to an approved person): 9.78p per litre
- Heavy oil (diesel): 52.95p per litre
- Fuel oil: 9.78p per litre
- Other heavy oil (used as fuel, excluding fuel oil, gas oil, or kerosene): 9.78p per litre
- Marked gas oil: 6.48p per litre (effective from 15 June 2026)
- Kerosene (for an excepted machine, excluding heating): 6.48p per litre (effective from 15 June 2026)
- Bioethanol: 52.95p per litre
- Biodiesel: 52.95p per litre
- Biodiesel (for use in an excepted machine): 6.48p per litre (effective from 15 June 2026)
- Gas oil bio blend (for use in an excepted machine): 6.48p per litre (effective from 15 June 2026)
- Road fuel natural gas (including biogas): 22.57p per kg
- Liquefied petroleum gas (LPG): 28.88p per kg
- Aqua-methanol: 7.22p per litre
