Chancellor cuts fuel duty in Spring Statement
23 Mar 2022
Chancellor Rishi Sunak announced a 5p per litre cut in fuel duty for petrol and diesel in the 2022 Spring Statement.
The government says it is the largest ever on all fuel duty rates, which will apply from 6pm on 23 March 2022.
The Chancellor also announced that the starting thresholds for national insurance contributions (NICs) will rise to £12,570 from July. However, the Health and Social Care Levy, which adds 1.25% to NICs, will still be implemented this April.
Mr Sunak also pledged that the basic rate of income tax will be cut by 1p in the pound before the end of this parliament in 2024. By then the Chancellor said that the Office for Budget Responsibility (OBR) expects inflation to be back under control, with debt falling sustainably.
A £1,000 increase to the Employment Allowance will benefit SMEs, while there will be no business rates due on a range of green technology used to decarbonise buildings.
In addition, the Chancellor announced 50% business rates relief for eligible retail, hospitality, and leisure properties from April 2022.
In his Spring Statement speech, the Chancellor said: 'This statement puts billions back into the pockets of people across the UK and delivers the biggest net cut to personal taxes in over a quarter of a century.
'Cutting taxes means people have immediate help with the rising cost of living, businesses have better conditions to invest and grow tomorrow, and people keep more of what they earn for years to come.'