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aratlife.bsky.social
@aratlife.bsky.social
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jackkessler.bsky.social
This footnote (on fuel duty, naturally) from the OBR's Fiscal Risks report skips bitter and salty to head straight for umami. obr.uk/docs/dlm_upl...
The reduction in fuel duty losses compared to 2021 is mostly due to repeated government policy decisions to freeze fuel duty, to reduce it by 5p/L from April 2022, and then to freeze it at the lower rate every year since. Since we are obliged to use stated government policy, in 2021 we assumed the government would raise fuel duty in line with RPI. Because this did not happen, the rate for fuel duty in our analysis in 2024-25 is lower than we assumed in 2021 (and then growing with RPI). These choices to freeze fuel duty have significantly reduced future receipts, and therefore potential lost receipts. EV sales in the past four years have also been higher than as sumed in 2021.
July 8, 2025 at 10:35 AM