Rachel Reeves urged to freeze fuel duty for 'lifetime of Parliament' or risk hammering millions of drivers

WATCH: The GB News panel discusses potential changes to fuel duty in the Autumn Budget

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GB NEWS

Felix Reeves

By Felix Reeves


Published: 17/11/2025

- 06:00

The 5p per litre fuel duty cut is expected to expire on March 22, 2026

Experts are calling on the Chancellor to cut the rate of fuel duty in this month's Autumn Budget to boost consumer spending and help the economy flourish.

New polling suggests that almost half of all drivers (45.7 per cent) want fuel duty slashed by up to 20p per litre to help petrol and diesel drivers at the pumps.


More than a quarter have called for the fuel duty rate to be frozen. A 5p per litre cut has been confirmed to remain in place until March 22, 2026, after it was first introduced in 2022.

The rate of fuel duty has remained frozen for the last 14 years, although one in five drivers states the "regressive levy" should be scrapped altogether.

At present, fuel duty makes up 52.95p of the price of a litre of petrol or diesel, and is estimated to provide around £25billion for the Government every year.

Data from RAC Fuel Watch shows that the average driver in the UK is paying 135.33p for unleaded petrol and 142.91p for diesel.

While the RAC does not forecast any major fuel price changes in the near future, any decision made by the Chancellor in the upcoming Budget could change this.

The survey, which had more than 63,000 respondents, was conducted by FairFuelUK, which has consistently lobbied the Government to keep the rate frozen to boost drivers.

Chancellor Rachel Reeves and fuel pump

Drivers are calling on the Chancellor to avoid hiking the rate of fuel duty in the upcoming Budget

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PA

Commenting on the data, Howard Cox, founder of the campaign group, said reducing fuel duty would slow down inflation for the "highest taxed drivers in the world".

The survey showed that nine in 10 motorists admitted that they were likely to spend the additional money saved through a fuel duty freeze or cut in the economy.

The same proportion said they would spend "considerably more" in the economy if Rachel Reeves were to slash fuel duty by 20p per litre.

Mr Cox said: "GDP will grow, jobs will be created, consumer spending will rise, business investment will increase, and consequently, Treasury income will benefit significantly.

"Our latest survey is not the typical market research for purists. But, it shows that putting money into the pockets of real people, such as these consumers and businesses, will promote economic growth and boost tax revenue for this beleaguered Labour Government.

"So, at the very least, Rachel Reeves, please keep fuel duty frozen for the lifetime of this Parliament."

With the Chancellor continually hinting at making tough decisions on Wednesday, November 26, many drivers fear that fuel duty could be targeted to raise money.

A spokesperson for the Treasury told GB News that the Chancellor will not comment on any fiscal changes ahead of the Budget.

Pumping fuel

The 5p fuel duty cut was introduced in the aftermath of Russia's invasion of Ukraine in 2022

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PA

Of more than 12,000 small businesses and sole traders responding to the FairFuelUK survey, 55 per cent said they would have to reduce their business costs if the fuel duty cut was removed.

Respondents were similarly concerned about the Chancellor potentially introducing pay-per-mile car taxes, which are expected to be launched for electric vehicle owners.

More than three-quarters (78.7 per cent) of road users were completely against introducing any systems of pay-per-mile car tax.

"To maximise the accumulation and recognised productivity benefits of roads, the UK should reduce road user costs to the US model. And that means cutting fuel duty," Mr Cox concluded.