Fears Labour might hit tens of millions of drivers on the pumps

Millions of drivers could face an extra hammering at the pumps as Labour looks to plug the black hole in its Election spending pledges, it is feared.

The party has refused to rule out hiking fuel duty and sources close to Shadow Chancellor Rachel Reeves told the Daily Mail that ‘we’re not going to make any commitments’ when asked if Labour would continue to freeze the levy.

By contrast, the party yesterday gave a cast-iron ‘triple-lock’ commitment that it won’t increase income tax, National Insurance or VAT.

It has increased fears that Labour will raise tax revenues in other ways, with reports last week suggesting Ms Reeves was looking at ten to 12 options in a potential emergency autumn budget.

The Tory Government has frozen the Fuel Duty Escalator for 14 years, with Rishi Sunak also slashing it by 5p a litre in March 2022 when he was chancellor to ease the burden on families during the cost-of-living crisis.

The party has refused to rule out hiking fuel duty and sources close to Shadow Chancellor Rachel Reeves told the Daily Mail that ‘we’re not going to make any commitments’ when asked if Labour would continue to freeze the levy

By contrast, the party yesterday gave a cast-iron ‘triple-lock’ commitment that it won’t increase income tax, National Insurance or VAT 

The successive freezes have collectively been worth at least £80billion to drivers, according to analysis.

If Labour were to effectively reverse the 5p cut, which expires in March 2025, and allow the Fuel Duty Escalator to rise with inflation, it would initially add around £100 a year to petrol bills.

Pressed on whether a Labour government would retain the Tory freeze, a source close to Ms Reeves said: ‘We’ve previously supported fuel duty freezes.

‘But we’re not going to make any commitments without saying where the money is going to come from.’

Former cabinet minister Theresa Villiers, who is defending her Chipping Barnet seat, said: ‘Labour take every opportunity to clobber drivers. They did that in Wales with blanket 20mph speed limits and in London with Ulez expansion.

‘Fuel duty went up and up under Labour when they were last in power. Now it looks like they are going to do that all again.’

Former Conservative leader Sir Iain Duncan Smith said: ‘As sure as the sun goes up and comes down, Labour will raise taxes.

It has increased fears that Labour will raise tax revenues in other ways, with reports last week suggesting Ms Reeves was looking at ten to 12 options in a potential emergency autumn budget

If Labour were to effectively reverse the 5p cut, which expires in March 2025, and allow the Fuel Duty Escalator to rise with inflation, it would initially add around £100 a year to petrol bills

‘Fuel duty tax is clearly going to go up because Labour is not pro-car as a rule. They’ll sell this as a ‘green’ tax which lots of motorists can’t afford.

‘We therefore know it’s a lie when they say they’re not going to raise taxes on working people.’

A poll by the FairFuelUK campaign group found six in ten drivers believe Labour will look to increase fuel duty after the Election, with only a fifth saying they think the party will freeze it.

It comes after Labour leader Sir Keir Starmer struggled to dismiss accusations during a TV election debate with Mr Sunak last week that his spending plans contain a £38billion black hole.

The PM highlighted Treasury analysis revealing the gap, the equivalent of more than £2,000 per household over the next Parliament.

Labour claims the analysis is a ‘lie’ and not independent because Tory advisors played a role in the calculations.

A fuel duty hike could be used to help pay for Labour’s ‘green’ energy plans, which include decarbonising the entire electricity network by 2030.

The PM highlighted Treasury analysis revealing the gap, the equivalent of more than £2,000 per household over the next Parliament

The party also wants to ban sales of new petrol and diesel cars by 2030, meaning a hike could help pay for infrastructure such as electric vehicle charging points.

It is not the first time Labour has been accused of wanting to punish motorists. London mayor Sadiq Khan sparked fury last August by expanding his ultra-low emissions zone, which charges drivers of older vehicles £12.50 a day, to cover all of greater London. The Tories have pledged to reverse it if they win the Election.

Labour-run Wales lowered thousands of miles of 30mph roads to 20mph and it is mostly councils ran by the party which have been behind low-traffic neighbourhood restrictions.

Fuel duty, charged at 52.95p a litre, should increase in line with inflation annually but it has been frozen by successive Tory chancellors since 2011.

Average pump prices are 147.05p for petrol and 152.55p for diesel.