Rural drivers start paying less for fuel

Rural drivers start paying less for fuel

The fuel rebate for rural drivers has been extended to some of the most remote areas across the UK.

It means thousands more people will have 5p a litre knocked off the price of petrol and diesel at the pumps.

While a positive step in the right direction, RAC Foundation director Steve Gooding claims more still needs to be done to bring down the cost of fuel for all motorists nationwide, not just a select few.

"This is good news for tens of thousands of drivers living in the farthest reaches of the UK, but they are not alone in worrying about fuel prices. So do the rest of the country's 37 million drivers," he said.

"Oil prices have rebounded 50% since the lows we saw at the start of the year and pump prices are up 9p or 10p over the same period.

"The big question is: what will happen in the emergency Budget on July 8? Most motorists will hope that, at the very least, the Chancellor sticks to his pre-election promise of keeping fuel duty frozen.

"But even if he does, two-thirds of what we pay on the forecourt will still end up in the Exchequer."

The Rural Fuel Rebate was introduced in March 2012. Drivers in remote areas on the mainland have since had 5p a litre knocked off their fuel bill, with service stations able to claim the money back from the Treasury.

It has now been extended to 17 of the most far-flung island spots from the Highlands all the way down to Devon.

Parts of Northumberland, Cumbria, North Yorkshire and Argyll and Bute are also eligible.

Damian Hinds, Exchequer Secretary to the Treasury, claims working families will be the main beneficiaries. He says the extended rebate will make travelling to work and school much easier for rural dwellers.

Around 125,000 motorists are set to benefit from the latest round of cheaper petrol and diesel pledges.

Copyright Press Association 2015