Campaigners are celebrating fuel duty freezes with Chancellor Rachel Reeves confirming prices won’t rise for now in her Autumn Budget. The Chancellor admitted that petrol and diesel fuel duty fees would maintain the rate at 52.95p per litre until September 2026.
The latest freeze means petrol and diesel fuel duty rates have not increased since 2011 after Ms Reeves admitted the costs of travelling to and from work was still “too expensive”. Ahead of the Budget, FairFuelUK has been among the leading campaign groups calling for updates and was delighted with the news of lower costs.
Speaking exclusively to Express.co.uk, Howard Cox, founder of FairFuelUK said: “Delighted 5p cut frozen for another 10 months. For 15 years I have led the economic case that lower fuel taxes facilitates economic growth, lower inflation, increase in consumer spending and new jobs.”
However, the Budget explains that from April 2027, fuel duty will rise annually in line with the Retail Price Index (RPI). This could see fees rising by an average of around £0.9billion per year.
Iain Read, spokesperson for Carwow, explained: “Phasing out the 5p fuel duty cut will be felt by drivers already managing rising living costs. Even a staged increase adds pressure for commuters, families and rural motorists who depend on their cars every day. As duty begins to rise again from 2026, many drivers will face difficult choices around travel, car use and vehicle running costs.”
According to an analysis from AutoExpress, 67% of motorists were worried about fuel duty rates increasing ahead of the Budget. Over half (55%) of those surveyed felt any change to fuel duty charges would be unfair, while a quarter of road users said they could end up reducing their mileage if fees went up.
Steve Walker, Head of Digital Content at AutoExpress, said: “The confirmation that the 5p-per-litre cut to fuel duty has been retained until September of next year will come as welcome news for drivers, we’re sure. However, this relief will be short-lived as after this point, fuel duty will increase annually and the 5p cut will be phased out.”
Some, though, have called out the Chancellor's decision to freeze fuel duty prices while electric cars were slapped with higher fees.
Ms Reeves confirmed that a new 3p per mile road pricing charge would be introduced for electric cars by 2028. The new bill will increase charges by around £300 per year for those covering an average of 10,000 miles per annum.
Ben Custard, motoring expert at Motorpoint said: “Given that plug-in hybrids are also being targeted, and, in the same Budget, the Chancellor chose to freeze fuel duty, it’s telling people to buy petrol and diesel cars instead of EVs. This is completely the wrong message.”
