My Garage
New hero

Should fuel duty be lowered in light of record costs?

By Tom Gibson | March 1, 2022


Why not leave a comment?

See all | Add a comment

We ask what more can be done to help us through the cost of living crisis.

Fuel prices have hit record highs in the UK as Russia's invasion of Ukraine continues to affect global oil prices with the RAC stating the average price of petrol has jumped to £1.51.

Diesel drivers continue to be hit hard too with average costs climbing to a whopping £1.55.

With this in mind, Regit is now asking if Rishi Sunak should lower fuel duty, which in itself has been frozen for 12 years.

Fuel duty currently stands at 57.95p per litre and a VAT rate of 20% is then applied on top of the collective cost. All in all, this means for every litre (approx. £1.50) you spend at pumps this week, around 90p of that will be going into the government’s back pocket.

Now we’re not here to criticise the system or tax rates as such, we know what benefits taxation brings to our country and no doubt all of our readers will hold slightly different views on the subject.

We’re also well aware that Covid bit our collective pockets hard and asking central government to reduce taxes is, for many, an ‘easy answer’.

Our point is that two years ago when petrol was readily available for a £1 per litre, the government was making in the region of 78p per litre. So could they not either reduce VAT to a 10% rate to help us through this crisis or reduce fuel duty itself to 40/45p for a short period?

Takings from fuel would be pretty similar to what they were two years ago but even a 5-10% saving for us on fuel prices would go someway to help lessen the impact on families who are struggling up and down the country.

Let us know your thoughts in the comment box below.

Related Articles

Jeremy Vine causes another social media storm after a van reverses into his bike. What do you make of this one?
The broadcaster is arguably the UK’s most prominent social cyclist as he films and uploads incidents from his rides.
Sep 19, 2023
Welsh Government defends introduction of 20mph speed limit despite eye-watering costs
The introduction has been labelled ‘absolutely insane’ by House of Commons leader Penny Mordaunt
Sep 19, 2023
The best used cars for £5,000 and less
With the cost-of-living crisis continuing to bite, many of us might be looking to move away from finance agreements and to cheaper cars.
Sep 19, 2023
These are all the cars and vans made in the UK
The UK is renowned for its car industry, and though we might not produce as many cars as we once did more than half a million new cars were...
Sep 19, 2023