Petrol drivers hit with new 57p per litre charges – Daily Express

UK motorists will face a rise in fuel prices when filling up their tanks, as Rachel Reeves announces the end to the longstanding fuel duty freeze. The tax, which is included in the price of petrol, diesel and other fuels, currently stands at 52.95p per litre. It has been frozen since 2011, and was even cut by 5p in 2022 as a result of Russia’s invasion of Ukraine.
The Chancellor’s announcement on Wednesday, November 26, included plans to maintain a freeze on the duty until September 2026, when it will then increase in line with inflation, resulting in drivers paying more for their fuel depending on how much they travel using their vehicles.
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Fuel duty is supposed to rise every year in line with inflation, but by September 2026, the last increase will have been more than 15 years ago.
The freeze will be reversed in three stages from September 2026, starting with a 1p-per-litre increase, and followed by a 2p-per-litre increase on December 1, 2026 and March 1, 2027, meaning by 2027 it will go back to being 57.95p per litre.
According to the Office for Budget Responsibility (OBR), the freeze until September will cost £2.4 billion next year, and the total cost of freezing fuel duty since 2011 has risen to £120 billion, reports the Financial Times.
Shadow Chancellor Sir Mel Stride criticised Reeves for increasing taxes to fund more spending, while claiming that the Conservatives had always found the money to freeze fuel duty.
He said: “Now after just one year Labour are putting up the duty and reaching into the pockets of commuters and hardworking families — all because they are too weak to control spending.”
The Chancellor also announced a new pay-per-mile charge for electric vehicles and plug-in hybrids. From 2028, drivers will be charged 3p per mile for EVs, while plug-in hybrids are charged 1.5p per mile.
The OBR suggests that the new EV tax could reduce the number of expected sales by the end of 2030-31 by 440,000.
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