Following the 2022 Spring Statement earlier in the week, British Marine’s VAT specialist, PKF Francis Clark has provided the following essential update for members regarding changes in fuel duty which came into effect from 6pm on 23 March 2022.
- Petrol and Diesel will see reductions from 57.95p per litre to 52.95p per litre.
- Red Diesel will be reduced from 11.14p per litre to 10.18p per litre.
Changes have also been made in the form of a proportionate percentage cut (equivalent to 5p per litre from the main Fuel Duty rate of 57.95p per litre) in other lower rates and the rates for rebated fuels, where the government has deemed this practical.
As VAT is charged on the duty inclusive cost of the fuel, the change should also reduce the amount of VAT due at the time of sale.