Why Britain’s fuel tax giveaway is costing the earth

The UK’s drivers will shortly celebrate a decade of frozen fuel taxes with consecutive budgets maintaining duty rates at 57.95p/l since 2010 rather than raising the tax in line with inflation.

Had fuel duty been raised by inflation throughout the decade it would now be 69.41p/l with VAT levied on top of this. But whilst drivers have benefited through cheaper prices at the pump the generosity of successive Chancellors has made driving cheaper encouraging more car use and buyers to select much larger and less efficient models.