See more Daily Mail on Google - save us as a Preferred SourceBy JAMES TAPSFIELD, UK POLITICAL EDITOR Published: 12:13 BST, 20 May 2026 | Updated: 13:06 BST, 20 May 2026
Keir Starmer bowed to pressure from struggling drivers today as he announced the fuel duty freeze will stay in place.At PMQs, Sir Keir said a 5p rise in duty planned to be phased in from September was being delayed as part of moves to help Brits hit by the Middle East crisis. But he only said that the level would be kept on hold 'for the rest of the year' - raising the prospect that it will go ahead at that point.The news emerged amid clashes with Kemi Badenoch in the Commons, where the Tory leader condemned the premier for restricting drilling in the North Sea.Hauliers are also being given a road tax 'holiday' for a year. At PMQs, Keir Starmer said a 5p rise in duty planned for September was being delayed as part of moves to help Brits hit by the Middle East crisis
Sir Keir said: 'I can announce today that we are giving our hauliers a 12-month road tax holiday, helping to keep prices down.'And we are backing drivers by extending the freeze in fuel duty for the rest of the year.'Outside the chamber, Chancellor Rachel Reeves said: 'I'm keeping taxes down for drivers and businesses – putting money in the pockets of millions of workers and cutting costs for farmers and hauliers.'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'By protecting households and businesses we are building a stronger and more secure economy for Britain. That is the right economic plan.'Fuel duty rates were previously planned to increase 1p from September and another 2p in December, as they gradually returned to previous levels.Iran's restrictions on tankers passing through the Strait of Hormuz means the average price of a litre of petrol and diesel at UK forecourts is 26p and 44p respectively more expensive than before the conflict started on February 28.Shadow chancellor Mel Stride said: 'Labour's fuel tax hike would have hurt businesses and hammered hardworking families already stretched to breaking point. For months I've been calling for Reeves to axe her fuel tax hike.'After Conservative pressure, Reeves has finally been forced into a U-turn.'Under the Conservatives, fuel duty was frozen or cut for 14 years in a row. Labour wanted to put it up during a cost of living crisis. That tells you everything.'RAC head of policy Simon Williams said: 'Drivers are struggling with the cost of filling up, especially now petrol has reached an Iran War high of 158.73p a litre, so the decision to keep the 5p fuel duty in place for the time being is very welcome.'The big question is now: what will happen next year and will drivers be hit with the full 5p in one go in the Spring, will a new phasing be agreed, or will the Government even abandon an increase altogether? '
