Rahel reeves Will freeze fuel charge Again Autumn in promoting drivers Still struggling with the cost of life, it has been told by Abben.
Allegedly Sounds vindicated by a freeze Last October on levy, despite calls to increase tax from campaigners and economists.
And its A multi-unarmed pound tries to fill the black hole In public finance, he has faced fresh calls to eliminate long -running freeze fuel chargeWhich has been in place since 2011.
Maintained by maintaining freeze, and keeping a 5P cut Rishi sunak As a Chancellor in 2022, it is expected to cost around £ 5BN per year – similar to the Labor U -turn on the planned profit cut.
But I Information about increase in fuel duty in accordance with inflation will not be a part of Ms. Reeves’s autumn budget as it wants to balance books.
Treasury sources told the newspaper that there is an example of freeze Treasury, which is “front-leg” in dealing with the cost of pressures in front of the houses.
The title rate on standard petrol and diesel is 52.95 pence per liter, a level that will usually grow in line with inflation. But the repeated cold of measurement means that, since George Osborne First took this step, the rate has fallen more than one third in real terms.
The Social Market Foundation, a think tank, said that the freeze and deduction since 2012 would have spent the government more than £ 200bn in total by 2028, which is more than the budget for NHS.
Ms. Reeves maintained the rate of fuel duty flat last October, former Institute of fiscal studies Director Paul Johnson Said: “Almost incredibly this government has followed the practice of its predecessor in the cold rates of fuel duties and dramatically has not allowed to abolish the ‘5P cut’, claiming to focus on other taxes and focus on tackling climate change.”
But Ms. Reeves said that hiking fuel duty would be a “wrong option” because she revealed that she said “very difficult decisions” on tax elsewhere.
Ms. Reeves said: “It will cost more than £ 3 billion next year to maintain the 5P cut and freeze fuel duty again.
“At a time when the fiscal situation is so difficult, I have to be clear with the house that it is an adequate commitment to make it.
“I have concluded that in these difficult situations – while the cost of living remains more and with the backdrop of global uncertainty – to increase fuel duty next year would be wrong for working people.
“This would mean the fuel fee is increasing 7P per liter. Therefore, I have decided to freeze fuel duty next year and I will maintain the current 5P cut for another year.
“There will be no high tax in petrol pumps next year.”
A treasury source said that they would not comment on speculation before the budget.
