Motorists are taxed more than double on vital petrol and diesel compared with revellers downing champagne, according to a new report. The fresh analysis from the AA shows road users are charged an eye-watering 56 percent in tax while topping up their vehicles. The report has found that road users across the UK are paying a staggering 75.
2p in tax for every 134p litre of petrol filtered into their vehicles. This is because individuals pay 52.95p in fuel duty and an additional 22.
28p in VAT per litre for every trip to the pumps. Meanwhile, those buying a bottle of bubbly will pay just 22 percent tax compared to its value. Roughly, customers will splash out around £8.
33 in VAT and £2.67 in duty for a £50 bottle of Champagne. According to The Sun , AA boss Edmund King warned fuel was now being taxed as a “luxury” item in a major blow to road users.
He stressed: “Road fuel is taxed as a luxury even though it enables 70 percent of people to commute to work and powers haulage, deliveries and services that keep the UK functioning.” However, motorists could be set for even higher bills in the coming weeks with fuel duty thought to be on the Chancellor's radar ahead of the Autumn Budget. Labour have failed to rule out fuel duty price hikes , suggesting a first rise in over a decade could be on the cards at the end of October.
The 5p cut introduced by the Conservatives to help with the cost of living crisis in 2022 could be the first casualty. This would increase rates back t.