NewsPoliticsKeir StarmerBritain's motorists and businesses will get help with rising prices at the pumps with a targeted package to keep taxes down and support people with the impact of war in Iran12:16, 20 May 2026Updated 12:43, 20 May 2026Keir Starmer has confirmed the 5p fuel duty freeze will be extended to help British families with the cost of living‌In PMQs, he said: "Families across the United Kingdom are facing impacts of a war that we did not choose. So it's welcome news today that inflation is falling. There is more we can do.‌"I can announce today that we're giving our haulers a 12-month road tax holiday, helping to keep prices down. And we're backing drivers by extending the freeze in fuel duty for the rest of the year.‌"This is possible because of the decisions taken by the Chancellor making us the fastest growing economy in the G7."READ MORE: Keir Starmer PMQs watch live: Nigel Farage ridiculed for no-show amid £5million questionsThe 5p cut on fuel duty was expected to end in September, but has been extended by three months to the end of the year. In total, by the end of this year the cut will have saved the average driver £120 since 2025, the Treasury said.‌A 12-month road tax holiday will save drivers £600 for a typical heavy lorry and £912 for the biggest vehicles on the road, it added.Farmers, rail freight, and other red diesel users will also see their fuel duty cut by over a third until the end of the year. This is the lowest rate in over 20 years, ministers said.Chancellor Rachel Reeves decided to scrap the planned fuel duty increase amid the blockade of the Strait of Hormuz, a critical waterway for around a fifth of the world's oil and gas. The shipping route has weaponised during the war in Iran.‌“The war in Iran is pushing up fuel prices here at home but after strong growth at the beginning of the year, I am stepping in to protect people at the pump," she said.“By protecting households and businesses we are building a stronger and more secure economy for Britain. That is the right economic plan.”Ms Reeves is also expected to outline separate plans to help low income families with rising energy bills later this year.Article continues belowThe Government has already allocated £50m to subsidise rocketing heating oil costs, which families in rural areas, especially in Northern Ireland, use to heat their homes.Choose Daily Mirror as a 'Preferred Source' on Google News for quick access to the news you value.‌Price risesKeir Starmer