🚗💷 Big News for Drivers! The latest Budget means changes at the petrol pump that could affect your drive and your wallet.
After years of freezing fuel duty, the Chancellor has announced it’s back to business as usual! Starting soon, you’ll see petrol and diesel prices creeping up as the duty is unfrozen. Projections suggest this move could eventually bring in a whopping £24.4 billion in revenue for the government.
But wait, it’s not all about petrol and diesel. Electric car owners, your turn is coming, too! From 2028, a pay-per-mile tax will shake things up.
Here’s a brief breakdown of current fuel duties:
– Standard petrol & diesel duty froze at 52.95p per litre since 2011.
– Marked gas oil for agriculture and more stands at 10.18p per litre.
– LPG is taxed at 28.88p per kg, while natural gas sits at 22.57p per kg.
– Fuel oil for heating is 9.78p per litre.
With VAT added on top, the pump price combines pre-tax costs, duty, and VAT – making the UK one of the highest compared to EU countries, especially when it comes to diesel.
A quick throwback: Remember the fuel duty escalator in the 90s? Similar policies led to major price hikes and quite the uproar back in 2000. This time, the increase will be gradual, giving everyone some time to adjust.
Stay tuned for more on how this evolves – how will it impact your travel budget? Let us know your thoughts below! 🚙💬