Fuel prices across the UK continue to rise sharply, intensifying calls for fuel duty cuts UK fuel prices as the impact on drivers and businesses grows.
Latest figures from the RAC show diesel has increased by 33.4p per litre since the start of the Middle East conflict, reaching 175.73ppl. Unleaded petrol has also risen significantly, up 16.6ppl to 149.44ppl.
International response versus UK position
Other European governments have already intervened:
- Irish Government has cut diesel duty by 20 cents and petrol by 15 cents
- Spanish Government has reduced VAT on energy, including fuel, from 21% to 10%
In contrast, the UK Government has maintained its current approach. Chancellor Rachel Reeves confirmed fuel duty will remain frozen until September 2026, followed by staged increases.
Industry leaders argue this represents a missed opportunity to introduce fuel duty cuts UK fuel prices and ease pressure on businesses reliant on road transport.
Industry calls for urgent action
Speaking to MPs, Gordon Balmer of the Petrol Retailers Association defended fuel retailers: “The fact is that for every litre of petrol sold by retailers, less than 5% is retained as profit, while the Government receives around 55% of the money raised from petrol sales from fuel duty and VAT.”
The Road Haulage Association also criticised the lack of immediate support, warning that planned duty increases could significantly impact businesses.
Financial impact already significant
Analysis from the RAC Foundation estimates that UK drivers and fleets have already paid an additional £307 million at the pumps since the crisis began.
Director Steve Gooding highlighted the broader economic impact: “Whether you are running a household or a company, fuel prices make up a significant part of the budget.”
Longer-term outlook and behaviour change
The International Energy Agency has suggested measures such as car sharing and more efficient driving to reduce fuel consumption globally.
At the same time, interest in alternatives is rising. Octopus Electric Vehicles reports a 36% increase in EV leasing enquiries, suggesting some drivers are seeking stability away from volatile fuel prices.
Sourced via: Fleet News
1 thought on “Rising fuel costs hit drivers”
Hi there
Please could the DIA lobby the government for when and if petrol rationing comes in that ADIs and PDIs are included in a priority group that will be ensured fuel because our livelihoods depend on it?