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Budget 2016: Fuel duty frozen once again

petrol_filling2
Lucinda Borrell
Lucinda Borrell
Editor
16 March 2016

Motorists have been spared a rise in fuel tax after the Chancellor announced he would freeze the duty for the sixth consecutive year.

The news came as a surprise to many who thought George Osborne would use the recent drop in costs at the pump – as a result of lower oil prices – as a cushion to raise duty.

Today, the average price of a litre of petrol or diesel in the UK is £1.03, though some sell both for less than £1/litre. To help keep costs down, see our Cheap Petrol & Diesel guide.

How much is fuel duty?

The price you pay depends on the type of fuel, as highlighted by this government breakdown of current rates:

Current fuel duty rates

Fuel type

Current tax

Petrol, diesel, biodiesel and bioethanol

57.95p per litre

Liquefied petroleum gas

31.61p per kg

Natural gas as fuels in vehicles

24.7p per kg

Fuel oil (heating or in a furnace)

10.70p per litre

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Budget 2016: Fuel duty frozen once again

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