The UK government is reportedly considering introducing toll roads for motorists as a way for the Treasury to bring in more money with Chancellor Rishi Sunak set to slash fuel duty
Image: Alamy Stock Photo)
Drivers could face tolls on British roads as the government looks at ways to bring in more money with fuel duty expected to be cut, it is reported.
Chancellor Rishi Sunak is likely to reduce the duty on fuel for the first time in over a decade when he makes his spring statement but at the same time ministers are looking at ways to bring in new ways to tax drivers.
He has hinted he may cut fuel duty by up to 5p per litre, with forecourt prices soaring since Russia’s invasion of Ukraine.
Labor leader Sir Keir Starmer has also backed the move – and repeated calls for a windfall tax on oil and gas companies to drive down soaring energy bills.
But with the continual growth of electric cars it also means that less money will be made from the fuel tax.
Alamy Stock Photo)
While toll roads are common place in many European countries, in the UK the biggest toll roads include the M6 near Birmingham where drivers have an alternative and it costs £7.10 for cars during the week, as well as £12.90 for HGVs, to use the road.
The option for road tolls is now to be taken “very seriously” by a government source told The Times.
They said: “It’s definitely being taken very seriously in Downing Street. The policy unit is giving it a thorough look and the problems with fuel duty now make it more urgent.”
Another option which has been recommended by the cross-party Commons transport committee is for monitoring technology that would charge drivers a fee for the distance they have gone but there are fears that there could be a backlash to this especially if it is introduced in towns and cities.
The government is working at options with petrol and diesel cars being phased out and it is estimated that without them in 2030 then the Treasury would be losing £35 billion.
Graham Young/Birmingham Live)
With the cost of living crisis, more than 50 Conservative MPs are calling for a cut in the tax to reduce the price of petrol and diesel.
Sunak has warned he cannot “fully protect” Brits from the rising costs, but he’s expected to reduce the duty prices on fuel.
Drivers in the UK are currently splashing out 57.95pa liter on fuel – one of the highest levels of tax in the world.
More than 50% of the cost of petrol in the UK is made up of fuel duty and VAT.
Former cabinet minister Sir John Redwood said: “Taking a bit off petrol and diesel is fine and welcome.
“But if that’s all there is it will be too little, too late. We are facing a very big cost of living squeeze.
“We need to be cutting taxes now to relieve that pressure. The Chancellor needs to back off all the tax rises he was planning.
“The national insurance rise should not go ahead, we should cut VAT on fuel and cut it on energy saving products like insulation too.”
George Holan is chief editor at Plainsmen Post and has articles published in many notable publications in the last decade.