Prime Minister Andy Burnham is facing mounting pressure to cut fuel duty as new analysis reveals that petrol drivers could be paying up to 22p per mile to run their cars. The figure, compiled by All Car Leasing, takes into account not just the cost of fuel but also other running expenses such as insurance, maintenance and depreciation.
The new Prime Minister, who took office recently, has yet to make any concrete announcement on fuel duty. While the cancellation of the September rise offers temporary relief, many are asking why the government is not doing more to help motorists, especially as the cost of living remains high. The ongoing Iran war has been a major driver of higher oil prices, and motorists are feeling the pinch at the pump.
For a typical petrol car achieving 45 miles per gallon, with petrol priced at £1.56 per litre, the fuel element alone costs around 16p to 17p per mile. But when the full running costs are factored in, the total rises to 22p per mile, according to the leasing company. This means a driver covering 10,000 miles a year could spend around £2,200 on motoring costs.
The alarming 22p per mile figure has prompted urgent calls for government intervention. Industry experts warn that petrol and diesel prices are likely to keep climbing in the near future due to escalating tensions in the Middle East, which have disrupted global oil supply chains and pushed pump prices close to record levels seen earlier this year.
Fuel Duty Rise Scrapped, But January Increase Looms
In a welcome move, the government has confirmed that a planned rise in fuel duty due on September 1 has been scrapped until at least the end of the year. This temporary reprieve is designed to ease the burden on motorists, but it does not address the underlying issue of high fuel taxation.
Motoring groups have expressed disappointment that the government only postponed the rise rather than cancelling it outright. They argue that a comprehensive solution is needed to prevent prices from spiraling further, especially as the winter months approach and demand for heating fuel rises.
In January, fuel duty is scheduled to increase by 3p per litre, a move originally announced by Sir Keir Starmer to protect drivers from the near-record prices experienced in April and May. However, with the Middle East conflict showing no signs of abating, many motoring organisations argue that this increase should also be shelved.
The Liberal Democrats have gone further, proposing a 10p per litre cut in fuel duty, which they say would bring prices down to levels last seen in mid-March. Such a reduction would have an "enormous impact" on motorists, potentially saving drivers around £5 per tank on average.
New Tools Help Drivers Find Cheapest Fuel
In response to the rising cost of motoring, new digital services have been launched to help drivers locate the best fuel prices in their area. These tools, built using open government data, allow motorists to compare prices at nearby petrol stations in real time, empowering them to make informed choices.
Andrew Hooks, General Manager at DriveScore, said: "Fuel costs remain one of the biggest everyday pressures for UK drivers, and people deserve simple, transparent ways to save. That's why we launched DriveScore Fuel Finder - to help drivers quickly locate the best prices nearby and keep more money in their pocket. At a time when every pound counts, giving people smarter tools to manage their driving costs has never been more important."
Scott Benson, creator of Fuel Finder UK, highlighted the growing demand for such services. "I started fuel-finder.uk as a solo project in my spare time to provide a fast, simple way for motorists to find the best prices at the pump," he said. "With nearly a quarter of a million visits to the site recently, it's clear there is a huge demand for this transparency. The government's data has enabled the creation of features like instant price notifications, making it possible for an independent developer to build a tool that helps people save money every time they fill up."
Andrew Watson, Managing Director of myAutomate, which owns PetrolPrices.com, also welcomed the initiative. He said: "The Fuel Finder scheme will enable PetrolPrices.com to build on our many years of service to the users of our platform, helping them make even more informed decisions about where to buy petrol and diesel."
Impact on Motorists and the Road Ahead
For everyday drivers, even a few pence per litre difference can add up to significant annual savings. By using price comparison tools, motorists can ease the strain on their budgets, but they cannot fully offset the impact of high fuel duty and the underlying cost pressures.
The decision to postpone the September rise is a step in the right direction, but the scheduled January increase threatens to undo any progress. With the Prime Minister yet to respond to calls for further action, the future of fuel pricing remains uncertain.
Campaigners argue that the 22p per mile figure highlights the urgent need for a comprehensive review of motoring costs. As the cost-of-living crisis continues and oil prices remain volatile, drivers across the UK are watching closely to see whether Andy Burnham will deliver the relief they need.
