Petrol and diesel prices could 'rocket' if Labour ignores fuel duty tax changes within months
Drivers will be eagerly anticipating Labour's first Budget in October
PA
Changes to fuel duty could mean drivers pay more at the pumps if Labour scrap the current cut on fuel duty in the upcoming Autumn Statement, experts have warned.
In a speech earlier this week, Chancellor Rachel Reeves announced plans to address the £20billion "black hole" in finances, which included cutting two road projects.
She highlighted that there was £1billion worth of unfunded transport projects that have been committed to next year, prompting Transport Secretary Louise Haigh to launch an immediate review.
This includes not moving forward with projects like the A303 and the A27, the latter of which could save the Government more than £300million.
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Petrol and diesel prices could soar if fuel duty rates were ignored in the October budget
PADuring the speech, Reeves also announced the date of the Budget - October 30 - as well as a full economic and fiscal forecast from the Office for Budget Responsibility (OBR).
In the most recent Budget under former Chancellor Jeremy Hunt, the Conservatives announced a major boost for motorists by freezing fuel duty again and boosting the EV sector.
He announced that the Government would maintain fuel duty rates at the current levels for a further 12 months, saving the average car driver £50 in 2024-2025.
Hunt highlighted how the Government was maintaining the fuel duty cut at a time when other European countries have ended their cuts.
Despite this, the UK has some of the highest petrol and diesel prices in Europe, with the latter being the most expensive across the continent.
Average prices from RAC Fuel Watch show that a litre of unleaded now costs 145.22p, while diesel drivers are still paying more than £1.50, although forecasts show that costs should fall.
Many are now pointing to fuel duty as being one of the most controversial choices that Rachel Reeves will be expected to make on October 30.
If fuel duty were to be ignored by the Chancellor, petrol and diesel prices would rise once again, potentially causing chaos for motorists up and down the country.
Howard Cox, founder of FairFuelUK, warned that the cost of filling up would "rocket" under Labour, adding that "hitting drivers in the pocket is deeply rooted in its political DNA".
He added: "Given UK petrol is 8p a litre over the European average, and the nation's commercial heartbeat, diesel, is even higher at 20p per litre more, the news of a possible 10p per litre fuel duty increase is terrifying.
"Labour's policies are a real and imminent danger to our liberty to drive," he told The Sun.
Speaking previously to GB News, Keir Starmer called fuel duty a "very sensitive" issue, stressing that Labour had supported the position to keep it frozen.
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Jeremy Hunt extended the fuel duty freeze earlier this year
PAHowever, he conceded that it is a budget-by-budget issue, saying that Labour supports a freeze on fuel duty "for a purpose".