The Government is considering scrapping a planned rise in fuel duty as the Middle East conflict pushes up energy costs, Energy Secretary Ed Miliband has suggested.
Speaking to Sky News, Mr Miliband signalled ministers could step in if the crisis continues, saying the Government will “stand by people” as global oil prices surge.
Fuel duty has been frozen for 16 years, but that freeze is due to end in the autumn. Chancellor Rachel Reeves is expected to decide in September whether to increase the duty.
However, the war in the Middle East has pushed up oil prices, fuelling speculation that the planned increase could be shelved to shield drivers from further pain at the pumps.
Mr Miliband stopped short of confirming any decision but said the Government will “do what it takes” to support the British people during the crisis.
Any decision to scrap the rise would be welcomed by drivers and businesses already grappling with higher transport and energy costs, but the Treasury faces pressure to increase duty to help repair public finances.
