Howard Cox, founder of FairFuel UK, predicted fuel duty will rise by 10p, hitting motorists at the pump.
Rachel Reeves could announce a fuel duty hike in the Budget (Image: Getty)
Labour’s hatred of drivers is “here to stay and will almost certainly deepen” as fuel duty hikes loom large, a campaigner has warned.
Howard Cox, founder of FairFuel UK, predicted fuel duty will rise by 10p, hitting motorists at the pump.
Mr Cox said Treasury officials are pushing for a “big rise” and believe they can “ride out” criticism.
Prime Minister Sir Keir Starmer has refused to rule out increases in fuel duty in the upcoming October Budget.
Howard Cox, founder of FairFuel UK, told the Daily Express: “I have always dreaded a Labour Government and have warned for 15 years their fiscal dictatorship once in power would hit drivers hard.
Keir Starmer refused to rule out fuel duty hikes while speaking to reporters in Berlin (Image: Getty)
“And my predictions of a huge hike in duty are about to be realised.
“Treasury officials are pushing for a big rise and pressuring the Chancellor, saying ‘drivers have had it too good for too long’.
“My credible Whitehall intelligence shows that in Labour’s first year in charge, they will increase fuel duty by 10p and ride out the bad reception from motorists.
“Along with a plethora of other anti-driver plans, it’s clear Starmer’s party’s hatred of motorised road users is here to stay and almost certainly deepen.”
Fuel duty has been frozen for more than decade under the Conservative government. In 2022, the then Chancellor Rishi Sunak cut it by 5p per litre. That was extended until March next year.
Challenged on specific tax rises, the Prime Minister reiterated his manifesto commitment not to raise income tax, national insurance or VAT – which he has previously described as taxes on “working people”.
But he was unable to rule out the first rise in fuel duty since 2010, saying he would not “speculate” on the Budget.
Drivers have been warned fuel prices will rise (Image: Getty)
He said: “Whatever party is in power, the questions about what’s going to be in the Budget are never questions answered before the Budget.
“But my absolute determination is to have economic growth. And I do not think that the only levers that a government can pull, particularly a Labour government, is simply tax and spend.”
Former Tory minister Esther McVey added: “Labour said they wouldn’t tax working people – don’t make me laugh.
“It looks like they’re coming after working people with a massive fuel duty hike.
“Labour never did like the white van man – just ask Emily Thornberry.”
Simon Williams, head of policy at the RAC, said Chancellor Rachel Reeves “knows the 5p discount is losing the Treasury £2bn a year”.
Mr Williams said retailers had failed to pass on the savings on fuel duty and had increased their margins.
The UK’s competition watchdog recently found that drivers were still paying too much for fuel, costing them £1.6bn in 2023.
Consequently, the RAC said it had reached the conclusion that Ms Reeves “has no option but to put fuel duty back up”.
“We’d normally be against any increase in duty,” said Mr Williams. “But we’ve long been saying drivers haven’t been benefitting from the current discount due to much higher-than-average retailer margins.”
