If you haven’t been living under a rock the past few months, you’d know that petrol and diesel prices are at an all-time high. Today (Wed 23 March 2022), during his spring statement, Rishi Sunak (the Chancellor) has implemented a 5p fuel duty cut – this is only the second time a cut like this has happened in the past 20 years. Sure, fuel prices are still high even with the cut but every little helps at the moment as the cost of living increases with each passing day.

What is fuel duty?
Fuel duty is a form of tax, which makes up part of the price you pay when purchasing petrol or diesel, or other vehicle fuels. It accounts for over a third of the overall selling price and is charged per litre of fuel.

It comes as no surprise fuel duty brings in a huge amount of money for the government. In fact, it was reported that the government had taken in roughly £28billion in 2019-2020. That works out to around £1,000 from each UK household. Fuel duty in the UK is the fifth-largest tax in terms of incoming funds for the government.

How much will I save?
If you’re driving a typical family car with a 55-litre tank then you’ll be saving about £3.30 every time you fill-up the tank.

How long will this new cut last?
Rishi Sunak has confirmed that the fuel duty cut will last until March 2023, so plenty of time to make a little saving every time you fill-up.

How can I cut fuel costs even further?
There are other ways, and we’ve put together a list to help you in this area. Read our blog “Make Your Fuel Go Further” and start saving more NOW!