fbpx

Rishi Sunak urged to cut VAT on fuel as drivers are hit by record prices

The average cost of a litre of petrol at UK forecourts reached a new high of 153.50p on Thursday.

04 March 2022

Chancellor Rishi Sunak has been urged to cut VAT on fuel as drivers continue to be hit by record pump prices.

The RAC issued the plea after data firm Experian Catalist said the average cost of a litre of petrol at UK forecourts reached a new high of 153.50p on Thursday, up from 152.20p on Wednesday.

The cost of diesel rose from 155.79p to a record 157.47p over the same period.

Oil prices have spiked due to concerns over the reliability of supplies since Russian troops invaded Ukraine last week.

RAC fuel spokesman Simon Williams said: “This latest round of rises means the price of a litre of unleaded has now gone up by nearly 4p in just a week, adding £1.86 to the cost of filling a 55-litre family car.

“Diesel has gone up by a similar amount over the same period, adding over £2 to the cost of filling up.

“Once again, the high cost of oil is the main factor contributing to the prices drivers are paying, with a barrel now almost at the 120 US dollars mark, something that hasn’t happened since the spring of 2012.

“The RAC is now calling on the Treasury to look at an emergency, temporary cut in the VAT rate levied on fuel to ease some of the pain drivers are facing and to better protect them from upcoming rises.”

VAT is currently charged at a rate of 20% on petrol and diesel.

More from Perspective

Get a free copy of our print edition

News

Leave a Reply

Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.
You need to agree with the terms to proceed

Your email address will not be published. The views expressed in the comments below are not those of Perspective. We encourage healthy debate, but racist, misogynistic, homophobic and other types of hateful comments will not be published.