Autumn Budget must support drivers, urges RAC
More than a third of drivers want the Chancellor to cut VAT on fuel at the Autumn Budget.
Research by the RAC found that 34% of motorists surveyed backed a VAT cut, while 29% supported a cut to fuel duty.
Average diesel prices topped £2 earlier this month, while petrol prices reached £1.75p. The RAC now expects 2026 to be the second most expensive year on record for drivers to fill up. As such, 65% of drivers have said they have cut back on spending to pay for fuel, while 47% of those who have no choice but to drive say they’re struggling to meet costs.
RAC senior policy officer Rod Dennis said: “The status quo feels unsustainable, so we very much hope it’s a question of ‘how’ drivers are supported in the Autumn Budget, and not ‘if’.
“Cutting fuel duty further should deliver some relief at the pumps, while reducing VAT is another option available to the government and is narrowly preferred by drivers in our research. The two approaches work differently.
“A fuel duty reduction would take the same amount of tax off every litre of petrol and diesel, while a VAT cut would produce a larger saving on the more expensive fuel. With diesel currently costing more than petrol, diesel drivers would therefore see a slightly greater cash saving.
“Whatever is announced, it can’t come soon enough for the nation’s drivers who are enduring the second most expensive year for filling up on record. For so many, using the car is a necessity and not a choice and it’s important the government recognises that.”
