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Ed Davey, leader of the Liberal Democrats, is urging the government to immediately reduce fuel duty by 10p per litre until Christmas and scrap a planned permanent increase in January. He argues that this move would help drivers cope with high fuel prices and stimulate economic growth. The proposed reduction could cost around £2 billion but would be offset by increased revenue from other taxes, according to Davey.
Written locally by qwen2.5:14b on 2026-09-20,
using this article's own text rather than the other coverage of the
same event (that is the story summary below).
Story summary
Ed Davey, leader of the Liberal Democrats, called for an immediate reduction of fuel duty by 10p per litre until Christmas as part of a £2bn cost-of-living package. The proposal would see petrol and diesel prices drop by 12p at the pump, aimed to help drivers cope with high fuel costs resulting from the Iran conflict under the Trump administration. Davey claimed that the policy is self-funding due to higher oil and gas taxes and other revenue streams. Additionally, he urged for a permanent increase in fuel duty scheduled for January to be scrapped. This proposal was announced at the party's conference in Brighton, alongside plans to reduce bus fares from £3 to £1 and cut rail fares by 10%.
Written for “Fuel Duty Cut Plan” on 2026-10-05,
grounded in this article and the 2 other(s) covering the same event.
- Published
Sir Ed Davey is calling on the government to immediately cut fuel duty by 10p a litre until Christmas as part of a package of policies aimed at cutting the cost of living.
asserted
Davey → publish → living
The Liberal Democrat leader is also urging the government to scrap a permanent increase in fuel duty which is set to take effect in January.
asserted
which → urge → January
Fuel duty was frozen under the Conservatives in March 2022 and Sir Keir Starmer's government continued the freeze, deciding in May to push back a planned 3p increase in September until the end of this year.
uncertain
government → freeze → year
The Lib Dems claim cutting 10p from fuel duty now would mean fuel would drop by 12p per litre at the pump.
uncertain
fuel → claim → pump
Sir Ed claimed drivers should be supported and a temporary three-month fuel duty cut would pay for itself by stimulating the economy.
asserted
cut → claim → economy
"Petrol and diesel prices are higher than they've been for a long time because of Trump's mad war with Iran, and people need help now," he said.
asserted
he → need → help
The policy would cost about £2bn, he said, adding: "It's a three-month package, a temporary package, but if you look at the extra money the government will get through the energy profits levy, from gas taxes, from VAT and fuel duty, it's self-funding."
In a speech to his party's conference on Tuesday, Sir Ed will make further calls to cut the bus fare cap from £3 to £1, and reduce rail fares by 10%.
asserted
Ed → cost → %
He will also call for VAT to be dropped from public charging points for electric vehicles and a review of network costs the Lib Dems have labelled unfair.
asserted
Dems → call → costs
Chancellor John Healey is under pressure to raise taxes or cut spending at his Budget next month, amid soaring government borrowing costs.
asserted
Healey → raise → costs
Asked about Sir Ed's call for a fuel duty cut, Labour Party chair Bridget Phillipson told Laura Kuenssberg: "I'm sure John Healey will be open to any and all suggestions ahead of the budget but actually this is an area where the Labour government has taken action on fuel duty already.
"
asserted
government → ask → duty
Whilst I recognise what the Lib Dems have to say on this topic, this is the element of politics about it - they've got their conference, they're making their pitch, good luck to them.
asserted
they → recognise → them
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asserted
It → deliver → inbox
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