Budget reveals petrol duty frozen

News

Fuel duty has been frozen in the chancellor’s pre-election budget as September’s planned increase has been scrapped.

Before the Budget announcement, David Bizley, RAC chief engineer, said: "The Chancellor has a very interesting dilemma regarding fuel duty in this year's budget as - despite the General Election in May - he has the opportunity to declare his intention to extend fuel duty freezes."

It appears Chancellor George Osborne swayed on the side of motorists by freezing the petrol duty. Osborne has frozen or cut petrol duty for so many budgets in a row, many believe it would have been impossible for him to put it up this time.

Bizley has said today: "Mr Osborne has clearly taken an opportunity to maintain the truce in the 'war on motorists' whilst tying the hands of any new incumbent of No 11. Freezing fuel duty beyond the end of this Parliament is therefore a very shrewd move as it would be extremely unpopular for any future Chancellor to unfreeze it."

While the RAC are pleased that the government has cancelled September's scheduled fuel duty increase, Bizley commented: "We would ideally have liked to see him (Osborne) scrap the duty escalator together."

Motorists can keep abreast of fuel prices and issues relating to fuel production by visiting the RAC website