Rachel Reeves told to ‘rethink’ over fears drivers | Tech News

Rachel Reeves has been urged to “rethink” over plans to hike petrol and diesel fuel obligation costs over considerations motorists throughout the UK face a “double hit” on the pumps. Fuel obligation is set to increase in three phases, with the primary 1p rise coming in September, adopted by a 2p increase in December after which a additional 2p hike in March 2027.

The rise is set to reverse the 5p cut launched by the Conservatives in 2022 however comes at a troublesome time amid the continued fuel uncertainty. Petrol prices are up more than 10p per litre for the reason that begin of battle within the Middle East, with diesel charges up over 20p per litre. It has prompted requires Reeves to reverse her determination and maintain off the increase to enable fuel costs to settle.

Speaking completely to Express.co.uk, Iain mentioned: “Fuel prices are already rising due to global instability, and the UK’s temporary 5p fuel duty cut is only in place until August 2026.

“After that, duty will be phased back in, increasing in stages through to March 2027. If global oil prices continue to climb at the same time, motorists could face a ‘double hit’ of higher wholesale fuel costs and higher tax.

“That said, current increases remain modest compared with previous shocks, and there’s no sign of widespread shortages. The priority for policymakers is stability; avoiding sudden tax increases during a volatile period would help protect already stretched households. Therefore, we would urge the Government to rethink and freeze duty beyond August to help already squeezed motorists.”

Reeves’ refused to U-turn on fuel obligation price hikes at her Spring Statement regardless of stress from her political rivals, the Tories’ Kemi Badenoch and Reform’s Nigel Farage. Last week, Prime Minister Sir Keir Starmer steered that fuel costs can be stored “under review” in mild of what was occurring in Iran.

A fuel obligation increase would see tax prices rise from 52.95p per litre to 57.95p per litre, the price paid by drivers earlier than 2022.

Despite this, Ian confused that merely freezing the deliberate fuel obligation rise was not a smart long-term plan.

He told Express.co.uk: “This would only provide short-term relief, longer-term solutions like accelerating the shift to more efficient hybrid and electric cars are needed to reduce the UK’s overall reliance on fuel.”