The conflict in the Middle East has transitioned from a geopolitical concern into an immediate domestic energy crisis. With the effective closure of the Strait of Hormuz, oil prices have surged dramatically, with the resulting "conflict premium" passed directly on to UK consumers.
According to the Royal Automobile Club (RAC), the average price of petrol now stands at 158.16p per litre and diesel at 191.11p, a significant increase from pre-conflict levels of 132.9p and 142.4p respectively. Since the onset of hostilities, UK drivers have already paid an additional £307 million simply to keep their vehicles moving.
However, nearly 50% of the retail price of fuel is not determined by markets, but by taxation. Fuel Duty is currently levied at 52.95p per litre, with an additional 20% VAT applied to the total price. This effectively means that government tax receipts increase proportionally as fuel prices rise.
As demonstrated following the 2022 Russian invasion of Ukraine, elevated energy costs place substantial strain on households, businesses, and supply chains. The House of Commons has already warned that the crisis is likely to drive higher inflation and interest rate increases, further penalising UK consumers for events beyond their control.
Therefore, to mitigate the conflict's impact on UK consumers and businesses, we are calling on the UK Government to temporarily suspend VAT and Fuel Duty on fuel.
This would:
• Provide immediate cost relief
• Protect businesses and supply chains
• Reduce pressure on households
Please sign the petition now!
https://petition.parliament.uk/petitions/763674