The red case is out and it is time for the Autumn statement. Leading up to this year’s Autumn statement, Chancellor of the Exchequer Phillip Hammond emphasised how it was going to benefit those living just above the benefit threshold, which he categorises as “jams” – “just about managing”.
One of the key factors in helping those “jams” was the management of fuel duty, with many wondering whether it was going to be frozen or, in an ideal world, cut. There were rumours that fuel duty could rise by 2p though.
So what happened when Philip Hammond revealed his 2016 Autumn statement?
Fuel duty frozen until 2018
Philip Hammond followed through with his promise on fuel duty and continued the trend George Osborne set by freezing fuel duty for another two years – which means fuel duty remains at 57.95p per litre.
Hammond said: “The oil price has risen over 60 per cent since January and sterling has declined by 15 per cent against the dollar, that means of course significant pressure on prices at the pumps here in Britain.
“So today we stand on the side of millions of hard working people in our country by cancelling the fuel duty rise for the seventh successive year.
“In total, this saves the average car driver £130 a year and the average van driver £350 a year. This is a tax cut worth £850m next year and means the current fuel duty freeze is the longest for 40 years."
What about whiplash claims?
Amongst other automotive-related issues, Hammond made a statement regarding whiplash insurance claims, stating that the government will aim to crack down on fraudsters next year. Ultimately, Hammond has said that this will save motorists an average of £40 on their insurance premiums.
Hammond: “I can confirm that the government’s commitment to legislate next year to end the compensation culture surrounding whiplash claims, a major area of insurance fraud, and that will save drivers and average of £40 on their annual premiums.”