More than 150,000 drivers have issued a stark warning to Chancellor Rachel Reeves, cautioning that a new rule on fuel duty could be the 'final blow' for many.
A petition organised by FairFuelUK has gathered more than 152,000 signatures, calling on the Labour Chancellor to either cut or maintain the freeze on fuel duty in the upcoming Autumn Budget.
Public Opinion on Fuel Duty
The campaign's data reveals a significant split in opinion, even among the government's own supporters. Of those who voted for Labour in the 2024 General Election, a substantial 54.7 per cent believe that fuel duty should be cut.
Almost a quarter of respondents stated that the duty should remain frozen, while 11 per cent advocated for the fuel tax to be scrapped entirely. In contrast, only 6.7 per cent said the rate should be increased to boost Treasury receipts, a move often suggested to compensate for the shift to electric vehicles.
A Warning from the Campaign
Howard Cox, founder of FairFuelUK, did not mince his words. He stated that hiking the duty 'could be the final political blow in Labour's succession of self-inflicted disasters.'
The tax on petrol and diesel has been frozen for the past 15 years. It currently sits at a level that is 6p below where it was when the Labour Party was last in power. This long-standing freeze has been credited with providing immense benefit to motorists and helping to strengthen the Treasury's finances by curbing inflationary pressure.
A Government spokesperson highlighted the changing landscape, noting: 'Fuel duty covers petrol and diesel, but there's no equivalent for electric vehicles.'
Calls for a Green Levy on Flights
Adding a new dimension to the debate, prominent Labour donor Dale Vince has urged Ms Reeves to consider a different approach. The founder of Ecotricity, who donated £5m to Labour last year, suggested cutting fuel duty for drivers while introducing a new green levy on flights.
Mr Vince argued to The Telegraph that this would create a fairer system, stating that car use is 'essential' for working families, whereas 'flying is a luxury.'
'Lots of people use their cars to get to work – it’s essential. It’s not for fun. Whereas if you jump on a plane for a holiday, you won’t pay fuel duty or VAT,' he said. 'The aviation industry pays no fuel duty and yet it burns the most per passenger per mile. These changes would make the tax system more progressive.' This new environmental charge would be in addition to the existing Air Passenger Duty.
