Lib Dems propose temporary 10p fuel duty cut

The Liberal Democrats have proposed a temporary 10p per litre cut to fuel duty, claiming it would reduce pump prices by 12p per litre and provide immediate relief to motorists facing high costs. Party leader Ed Davey announced the policy at the Liberal Democrat conference in Brighton, urging the government to implement the measure until Christmas. Davey stated the three-month package would cost approximately £2 billion but argued it would be self-funding. He said the government would recoup the cost through increased revenue from the energy profits levy, gas taxes, VAT, and fuel duty, stimulated by higher oil and gas prices. The party also called for scrapping the planned 3p fuel duty rise scheduled for January 2027, which would be the first increase in 15 years. In addition to the fuel duty cut, the Liberal Democrats proposed reducing the bus fare cap from £3 to £1, cutting rail fares by 10%, and removing VAT from public electric vehicle charging points. Davey attributed high fuel prices to the ongoing conflict in the Middle East, stating that people need help now. The proposal has put pressure on the government ahead of Chancellor John Healey's Budget next month.