General · 20 May 2026
Chancellor blocks 1p fuel duty hike, costs £2.4bn.
The government's decision to cancel a fuel duty hike means drivers will not face increased expenses. The Chancellor, Rachel Reeves, is poised to announce on Thursday that a 1p tax rise in September and a potential 5p increase will be blocked. As a broader cost of living measure, the plan seeks to alleviate inflation driven by the war in Iran, incurring an annual government expenditure of £2.4 billion.
Reported by Guardian · How we write briefs