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Fuel duty freeze update

Tomorrow the Government will take the next step in achieving its promise to freeze fuel duties.

It will lay before the House of Commons the secondary legislation needed to implement its decision not to proceed with the planned fuel duty increases from September 1.

This legislation follows an announcement by John Healey, the Economic Secretary to the Treasury on July 20 that all the fuel duty increases planned for September 1, 2004 as set out in Budget 2004 will not now go ahead.

The Government made a U-turn on its proposed 1.42 pence per litre increase last month.

The Chancellor will keep these under review and will be reporting back to the House of Commons at the time of the pre-Budget report.

The result of this legislation will be that from 1 September 2004 the effective rates of fuel duty (pence per litre) will be as follows-

  • Ultra-low sulphur petrol (ULSP): 47.10
  • Sulphur-free petrol: 47.10
  • Unleaded petrol 50.19
  • Ultra-low sulphur diesel (ULSD) 47.10
  • Sulphur-free-diesel 47.10
  • Diesel 53.27
  • Biodiesel 27.10
  • Liquefied petroleum gas (LPG) 9.00 (Pence per kilo)
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