Esther McVey is urging Chancellor Rishi Sunak to slash prices at the pumps in this week’s mini-Budget as fuel prices reach an all-time high.
The Tatton MP said action was needed to tackle the soaring prices and is calling for Government to either cut fuel duty or reduce VAT on fuel.
She said: “Families and businesses rely on their cars and simply cannot afford these exorbitant prices at the pumps. It is unaffordable and comes at a time when people are already dealing with a cost of living crisis, with huge increases in gas and electricity.
“I have always said fuel duty is too high and repeatedly called for it to be reduced.”
Ms McVey is one of a group of MPs pressing Government to act ahead of the financial statement due to be delivered by the Chancellor on Wednesday.
Ms McVey has spoken to businesses across the area hit by the prices and said she will keep up pressure on Government to tackle the rising prices.
Price increases are thought to have meant an extra £16 to fill up a tank compared to a year ago, or as much as £20 in rural areas where prices are slightly higher. Haulier’s report paying out £120 more and van workers £25 more.
Ms McVey also wants Government to introduce Pumpwatch, a consumer monitor which would ensure fair prices at the pumps in line with wholesale prices. It follows falling wholesale oil prices, particularly last year, which were not reflected by a reduction in price at the pumps.
According to the RAC Foundation and FairFuelUK’s national panel, average profit margins for diesel have increased by 150 per cent in the last two years, with petrol margins at the pumps more than doubling.
Ms McVey also wants the Chancellor to scrap the proposed increase in National Insurance Contributions at his Spring Statement next week.