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Daily Record
Daily Record
Lifestyle
Catherine Furze & Jacob Rawley

Three driving changes announced in Budget including car tax rise, fuel duty and potholes

Motorists will see some important changes come into force result of the UK Chancellor's most recent budget announcement.

It was a smoother ride this year for road users, with Chancellor Jeremy Hunt focusing his plans on getting the UK economy in better shape. Despite their being no nasty shocks, there are key policies set to impact drivers up and down the country,

Some of the major announcements include the cancelling of an 11p rise in fuel duty, new funding for potholes and a hike in Vehicle Excise Duty, reports Chronicle Live.

Here are the three key points that motorists should keep in mind following the latest budget announcement.

Fuel Duty

The planned 11p rise in fuel duty has been cancelled, with last year's 5p cut retained for another twelve months. The Government hopes that keeping the cut in-place will save the average motorist around £100 per year.

Howard Cox, founder of pressure group FairFuelUK said: "I am delighted our intense campaigning and lobbying with so many in-touch MPs has been highly effective in convincing the Chancellor to keep fuel duty frozen.

Diesel drivers might not see as many of the benefits (Getty Images)

"The longest-ever consumer tax levy freeze thankfully continues. It would be churlish not to warmly thank Mr Hunt for this welcome news, even though drivers actually wanted a cut in this regressive tax."

However, RAC fuel spokesman Simon Williams said that diesel drivers "are still getting a really miserable deal" and "effectively aren’t seeing any benefit from the 5p duty cut whatsoever" due to the pricing tactics of major retailers.

"So, in a peculiar way, it feels like it’s retailers who are benefiting from the lower duty cut right now, and not motorists."

Potholes

The Chancellor also announced a £200 million pothole fund that could be shared across local councils - although it will not impact Scotland.

Jonathan White, legal and compliance director for personal injury company National Accident Helpline, has said that the extra cash doesn't go far enough.

"While the Government’s extra funding for local road maintenance is welcome, it is unlikely to resolve Britain’s pothole pandemic," he said. "British roads are littered with potholes, causing grave concerns over safety. The funding is certainly a step in the right direction, but it doesn’t go far enough.

"It will take more than a one-off bonus to guarantee our roads are maintained to a standard that ensures lasting safety for all road users."

Vehicle Excise Duty (tax)

The budget wasn't all good news, as car tax will rise from next month which could be a bitter blow for motorists amid the cost of living crisis.

Vehicle Excise Duty is going up by 10.1 percent from April 1 for cars, vans and motorcyclists. Rates for the haulage sector will stay the same.

The exact amount your tax will go up from April 1 depends on the type of vehicle you own, as you pay different amounts based on its weight and when you registered your vehicle.

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