Asda confirms it’s going beyond Rishi Sunak’s fuel duty cut with extra reduction

Asda has said it will reduce fuel prices by 6p a litre this evening following the 5p fuel duty cut announced by Rishi Sunak’s in his spring statement.

In a statement yesterday, the supermarket said it will be passing the 5p a litre drop in fuel duty ‘straight on to its customers’ by reducing the price at the pumps by 6p a litre. This includes a 1p reduction in VAT.

Asda’s statement reads: “The supermarket will reduce the price at the pumps by 6p per litre which includes a 1p reduction in VAT. 

“This means that motorists will see unleaded move back below 160ppl and diesel to 170ppl.”

Asda

The Chancellor’s fuel duty cut will stay in place until March 2023, and is predicted to save a one-car family an average of £100 over the next twelve months.

The Treasury added that the average van driver will save £200, while hauliers will save £1,500.

Read More: Expert reveals tips on how to spend less on petrol and diesel as prices reach record highs

Other measures announced in Sunak’s spring statement included an increase in the National Insurance threshold meaning that, from July, people will be able to earn £12,570 a year without paying any income tax or National Insurance.

Sunak said this is the largest increase in a basic rate threshold ever and the largest single personal tax cut in a decade.

Parliament TV

It was also announced that homeowners will pay 0% VAT on energy saving materials, such as solar panels, heat pumps and insulation, with Sunak pointing out that the installation of solar panels will save £1,000 worth of taxes a year and more than £300 in annual energy bills.

The household support fund will be doubled, and employment allowance increased to £5,000 for small businesses. 

The Chancellor explained: “From April, the Employment Allowance will increase to £5,000. That’s a new tax cut worth up to £1,000 for half a million small businesses – starting in just two weeks’ time.”