Chancellor Rachel Reeves is facing urgent calls from drivers and industry leaders to abandon a planned 5p per litre fuel duty increase in the upcoming Autumn Budget.
Budget Pressure Mounts
The Chancellor is set to deliver the Labour government's second budget on November 26, with experts warning she may scrap the 5p per litre fuel duty reduction originally introduced by the Conservatives in 2022.
The Road Haulage Association (RHA), representing HGV and LGV operators, has stated that increasing fees would have a "significant impact" on living costs for workers across the nation.
Billions in Added Costs
In a direct appeal to the Chancellor through the Express, the RHA revealed startling research findings. A 5p increase in fuel duty would cost UK households £7.3 billion over the course of the Parliament through increased consumer prices and fuel costs.
The association emphasised the vital role of the haulage industry, noting that these businesses work tirelessly to keep "our homes, hospitals and shops stocked" while facing record levels of company collapses due to rising costs.
Record Fuel Prices Loom
The AA has issued its own stark warning, predicting that fuel bills could reach historical highs if the duty increase proceeds. Their analysis suggests:
- Petrol prices would average 142.2p per litre
- Diesel prices would reach 150.6p per litre
This would place petrol costs just below the record of 142.5p per litre last seen in April 2012, while diesel would surpass its previous peak of 147.9p.
Iain Reid, Head of Editorial at Carwow, echoed these concerns, stating: "If the Chancellor decides to scrap the fuel duty freeze, many drivers will see it as yet another cost added to the already high price of running a car. For those who rely on their vehicles for work, family, or everyday life, that could hit particularly hard."
The RHA concluded its plea by emphasising that maintaining the fuel duty freeze is vital to support the road transport industry and help households manage the ongoing cost-of-living challenges.
