PRA urges government to reverse fuel duty increase
The Petrol and Retailers Association is calling for a planned fuel duty increase to be abandoned as conflict in the Middle East drives up fuel prices.
Gas prices have risen at the fastest pace for more than three years, with Europe’s benchmark gas price jumping 50% on Monday before closing 39% higher.
The government has announced that it will raise fuel duty in September, reversing the cut introduced when Russia invaded Ukraine. It has said fuel duty will rise 1p in September, 2p in December, and a further 2p next March.
Gordon Balmer, executive director of the Petrol Retailers Association, said: “The conflict in the Middle East has increased the wholesale cost of petrol and diesel, which will mean pump prices will have to go up.
“Rising fuel prices hurt the economy in the form of higher inflation, impacting already hard-pressed household budgets. To help motorists and businesses, I am writing to the Chancellor urging her to abandon the planned fuel duty increases.”
Pause the decision
Logistics UK has also urged the government to rethink fuel duty increases this autumn, arguing that it will hurt motorists in their pockets.
CEO Ben Fletcher said: “The Chancellor is due to raise fuel duty in September. What we’re saying is that at this moment it would be sensible to pause that decision, because that increase will immediately start to impact on the prices charged by hauliers in the UK, and that will filter through very, very quickly to the consumer.”
