Rachel Reeves humiliated as Starmer slaps her down over petrol prices | Politics | News
Sir Keir Starmer has opened the door to scrapping a fuel duty hike despite Rachel Reeves dismissing calls to do so. The Prime Minister said the Government’s planned increase will be kept “under review”. Sir Keir is under pressure to cancel the 5p increase amid rising oil prices caused by the conflict in Iran.
During a grilling at PMQs yesterday, he said: “Fuel duty is frozen. It’s going to remain frozen until September and we will keep the situation under review in light of what’s happening in Iran.” His comments mark a split with the Chancellor after she said she would be “loathe” to ditch the hike during a grilling by the Treasury Committee earlier that day.
Ms Reeves said: โIโm very loath to spend government money on something that the market should be doing itself and thatโs why greater competition and greater transparency about pricing is so important.
โI would rather we had a properly functioning market where customers have decent information about prices at different petrol forecourts rather than subsiding the money which often actually just goes to the retailer.โ
Tory leader Kemi Badenoch warned the proposed hike, due to be introduced gradually from September, would worsen cost-of-living pressures faced by drivers.
The Government’s current plans mean drivers will pay a penny more per litre in tax at the pump in less than six months.
Mrs Badenoch said: “Labour think drivers are a cash cow and now they’re hiking fuel duty for the first time in 15 years.
“Everyone in this House knows the pattern. First he’ll march his backbenchers up the hill, then they’ll be forced to defend fuel duty rises in the local elections, then there will be another humiliating U-turn. So, why doesn’t the Prime Minister just stand up, admit he’s got it wrong again and scrap the fuel duty hike now?”
