Fuel duty has sat at 52.95p a litre since March 2022, held down by a temporary 5p cut. That cut is now ending — and in 2027 the tax on every litre climbs back to where it started. Here is the exact, confirmed timeline, what it adds to a tank, and the one thing that more than offsets it.
Quick answer: The 5p fuel duty cut ends on 31 December 2026. Duty then rises +3p on 1 January 2027 and +2p in March 2027, returning the main rate to 57.95p a litre. That adds roughly 6p a litre at the pump once VAT is included — about £2.75–£3.30 on a typical tank. Comparing local forecourts (often a 10–15p spread) on the live map more than covers it.
The 2027 fuel duty timeline
| Date | Change | Duty rate (petrol & diesel) |
|---|---|---|
| Now – 31 Dec 2026 | 5p cut still in place | 52.95p |
| 1 January 2027 | +3p per litre | 55.95p |
| March 2027 | +2p per litre | 57.95p |
After March 2027 the main rate returns to 57.95p per litre — exactly the level it held before the March 2022 emergency cut. On top of duty you still pay for the fuel itself, and then 20% VAT is charged on the whole lot (fuel + duty), which is why a 5p duty rise becomes closer to 6p at the pump.
What it actually costs you
The rise is small per litre but it compounds over a year:
- Per litre at the pump: about +6p once 20% VAT is applied to the 5p duty rise.
- Per 55-litre tank: roughly £2.75–£3.30 more per fill-up.
- Per year: a typical car covering 10,000 miles burns around 1,100 litres — so about £66 a year extra.
- Higher-mileage drivers (20,000 miles) could pay £130+ a year more.
For businesses running vans or fleets, multiply that across every vehicle — which is why the change is drawing attention well ahead of 2027.
Why the cut is ending
The 5p reduction was never meant to be permanent. It was introduced at the height of the 2022 energy crisis, when pump prices were pushing toward £2 a litre, and it has been rolled over several times since. Unwinding it across early 2027 restores the long-standing 57.95p rate and, on Treasury figures, brings in significant revenue — the trade-off ministers have now confirmed.
The number that matters more than 5p
Here's the part most coverage misses: the duty rise is dwarfed by where you choose to fill up.
Across the UK the gap between the cheapest and most expensive forecourts in a single town is routinely 10–15p a litre — two to three times the entire 2027 duty increase. Motorway services run 15–30p over nearby forecourts. So a driver who compares local prices before filling up doesn't just absorb the 5p rise — they come out ahead.
- Check your town first on the live map or your city page — the cheapest station near you today is usually pence below the average.
- Track the national picture on the UK Fuel Price Report and today's live averages.
- See which brands lead on price — supermarkets and Costco typically undercut oil brands by 5–6p: brands compared.
- Never buy motorway fuel unless the alternative is an empty tank — the journey planner finds cheaper stops just off-route.
The bottom line
The 2027 changes are confirmed: 52.95p now → 55.95p in January → 57.95p by March 2027. That's about 6p a litre at the pump and £66 or so a year for an average car. It's real money — but it's less than you'd save on a single well-chosen fill-up versus a bad one. Bookmark the live map and let the cheapest local price do the offsetting for you.
Figures reflect the confirmed fuel duty schedule as of July 2026 (main rate 57.95p, currently 52.95p after the 5p cut). Pump-price impacts include 20% VAT. For today's live UK averages see the fuel prices today page.
Frequently Asked Questions
When does UK fuel duty go up in 2027?
In two steps. The temporary 5p-per-litre cut ends on 31 December 2026. Duty then rises by 3p per litre on 1 January 2027 and by a further 2p per litre in March 2027, returning the main rate to 57.95p per litre — where it stood before the March 2022 emergency cut.
How much is UK fuel duty now, and what will it become?
Fuel duty on petrol and diesel is currently 52.95p per litre (the standard 57.95p rate minus the 5p temporary cut). After the two 2027 rises it returns to 57.95p per litre. VAT at 20% is then charged on top of duty and the fuel itself.
How much will the 2027 fuel duty rise cost me?
The full 5p rise adds 5p per litre plus 20% VAT — about 6p per litre at the pump. On a 55-litre tank that's roughly £3.30 more per fill-up, and around £2.75 a tank by the March 2027 completion on official figures. A typical 10,000-mile-a-year car using about 1,100 litres would pay roughly £66 more per year.
Why is fuel duty going up in 2027?
The 5p cut was introduced in March 2022 as a temporary emergency measure when pump prices neared £2 a litre, and it has been extended several times since. The government has confirmed it will finally unwind the cut across early 2027, restoring the long-standing 57.95p rate.
How can I offset the fuel duty increase?
The gap between the cheapest and dearest forecourts in a single town is often 10–15p a litre — far more than the 5p duty rise. Comparing local prices before you fill up on the free Fuel Near You map more than cancels out the increase. Supermarket and Costco forecourts, and avoiding motorway services, save the most.