Statement on reports government is considering ending fuel duty freeze

Following reports that the government is considering ending the current fuel duty freeze, RAC head of roads policy Nicholas Lyes said:

“UK motorists already pay some of the highest fuel duties in Europe – with VAT also charged on every litre of fuel sold. This, coupled with fuel prices being at their highest in more than three years means that drivers are increasingly being squeezed at the pumps. During this very period, motorists have also seen tax on their car insurance premiums double. Overall, it means the Treasury is now collecting more than £40bn a year from drivers in motoring-related taxation, so there is a very strong argument that motorists are already paying their fair share of tax.

“It is also the case that for many people, having easy access to a car is essential – especially where public transport is patchy or it simply isn’t practical to walk or use another form of transport. And for some, a car is a lifeline, especially for those in rural communities.

“By the Treasury’s own admission, lower fuel duty rates actually boost economic growth and consumer spending which offset any revenue loss. Given the evidence, we do not think there is any justification for the Chancellor to raise fuel duty.”

Press team

Press team

For journalist enquiries only

Share

Latest stories

Website preview
Reports of cloned vehicles rise to record high as law-breaking drivers look to evade enforcement cameras
11,402 drivers contacted DVLA in 2025 about fines and penalties they didn’t believe they committed
media.rac.co.uk
Website preview
Airport drop-off fees review announced - RAC reaction
Following the announcement the Government will conduct a review into aiport drop-off charges – a policy area the RAC has lead on for many years – RAC senior policy officer Rod Dennis said:
media.rac.co.uk
Website preview
Diesel dips below £2 a litre
RAC head of policy Simon Williams said: “While it’s positive to see the average cost of a litre of diesel dipping back below £2 a litre, we’re a long way from being out of the woods when it comes to high fuel prices. Diesel remains around 57p a litre higher than before the US/Iran conflict, and petrol 42p higher – meaning households are paying £31 and £23 more respectively every time they fill up a family-sized car. And as things stand, this year is still set to be the second most expensive year on record for drivers.
media.rac.co.uk

Get updates in your mailbox

By clicking "Subscribe" I confirm I have read and agree to the Privacy Policy.

About RAC Media Centre

The RAC Media Centre provides journalists and news outlets with the latest motoring-related news, comment, data and research.

About the RAC

The RAC is an iconic British driving services brand and has been championing drivers since 1897. Today it is one of the UK’s most trusted names, providing complete peace of mind ® to over 15 million drivers across breakdown cover, insurance, and mobile servicing and repairs.

Its nationwide patrol force attends more than two million breakdowns every year, while its position as the UK’s leading independent insurance broker helps motorists find the right cover with confidence. The RAC has also reshaped the service, maintenance and repair market with its Mobile Mechanics, who carry out servicing and repairs at drivers’ homes or workplaces.

Committed to innovation, the RAC is fully electric ready with mobile EV charging technology for stranded drivers, and a suite of digital and data‑led solutions that make motoring easier and more affordable for consumers and fleets. These services come together in myRAC – the all‑in‑one app for vehicle maintenance, cheaper fuel finding and breakdown assistance.

Contact

media.rac.co.uk