IAM RoadSmart urges Chancellor to postpone planned fuel duty rises

• Small fleet operators could be up to £800 worse off if duty rise isn't cancelled
  

IAM RoadSmart, the UK’s largest road safety charity, has joined calls for the Chancellor of the Exchequer to postpone planned rises to fuel duty in a bid to alleviate pressure on business fleets.

From 1 January 2027, the Government is set to gradually reverse the temporary 5p-per-litre fuel duty cut first introduced in March 2022, which will see duty for both petrol and diesel vehicles rise from 52.95p-per-litre to 55.95p-per-litre, excluding VAT.

This means, for example, that a business with a small fleet of 10 vehicles, and an annual fuel consumption of approximately of 26,000 litres in both diesel and petrol, could expect to pay almost £800 extra a year on top of their existing operating costs*.

Ahead of the Autumn Budget on Wednesday 28 October, Nicholas Lyes, Director of Policy and External Communications at IAM RoadSmart, is recommending the Chancellor pushes back this proposed increase so as not to place additional pressure on company operating costs.

“Many businesses are struggling with record high diesel prices, and the planned increase in duty pencilled in for the New Year will be a kick in the teeth for firms and fleet managers already under intense pressure as costs mount,” he said.

“The Chancellor should consider postponing the proposed increase, not least because it would currently fall immediately after the Christmas period, which tends to be a particularly difficult cashflow period for many businesses.

“Delaying implementation would support business investment, avoid adding to inflationary pressures, and give fleet managers the time they need to adjust.”

For more information, please visit IAM RoadSmart.

ENDS

Notes to editors & references

* Calculation based on the proposed 3p fuel duty increase, as set out on Gov.UK - https://www.gov.uk/government/...

About IAM RoadSmart

IAM RoadSmart is the UK’s largest road safety charity providing advanced driving and motorcyclist training. It has a vision of a society where all road users can safely and sustainably use the public highways together. IAM RoadSmart was formed in March 1956 and has around 70,000 members that supports its campaigns on road safety. At any one time there are over 7,000 drivers and riders actively engaged with IAM RoadSmart’s courses.

To find out more about IAM RoadSmart products and services visit: www.iamroadsmart.com

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