Shropshire Star

Government ‘standing by British people’ Miliband says amid fuel duty questions

Ministers have faced calls from their political rivals to U-turn on the planned 1p tax hike in light of the oil price spikes caused by the war.

By contributor David Lynch and Helen William, Press Association
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Supporting image for story: Government ‘standing by British people’ Miliband says amid fuel duty questions
Energy Security and Net Zero Secretary Ed Miliband (left) arrives at BBC Broadcasting House in London, to appear on the BBC One current affairs programme, Sunday with Laura Kuenssberg (Maja Smiejkowska/PA)

The Government is open to halting its plans to raise fuel duty for the first time in more than a decade should the war in the Middle East continue into the latter half of the year, Ed Miliband has hinted.

The Energy Secretary insisted the Government will “stand by the British people in this crisis” as he made appearances on Sunday morning’s broadcast round.

Fuel duty, the 52.95p per litre tax on fuel paid at the pump, is due to rise for the first time in 16 years at the end of August.

Ministers have faced calls from their political rivals to U-turn on the planned 1p tax hike in light of the oil price spikes caused by the US and Israel’s war with Iran.

Tehran has been blocking the Strait of Hormuz, a major shipping route used by oil tankers transporting the fuel out of the Middle East, causing global price spikes.

Asked whether ministers would consider scrapping the planned tax rise in the wake of the energy price rises, Mr Miliband told the BBC: “Let me answer that by saying this, which is, I’ll be candid with you, we don’t know how long this conflict is going to go on and therefore, with five months to go until September, we will have to see where we are, obviously.”

He then spoke of the Chancellor’s actions to reduce energy bills, before adding: “We will stand by the British people in this crisis, and we’ll do what it takes to do that.”

Pressed again whether this meant keeping the fuel duty freeze in place, Mr Miliband said: “You’re asking me to sort of speculate on what the Chancellor is going to do on fuel duty… but look, I am sending a clear message, which is we are going to stand by people in this crisis.”

The Energy Secretary and Chancellor Rachel Reeves this week met with oil firm bosses and forecourt operators to warn them against unfair price hikes in the wake of the Middle East conflict.

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Oil tankers and ships line up in the Strait of Hormuz as seen from Khor Fakkan, United Arab Emirates (Altaf Qadri/AP photo)

Ms Reeves has also signalled the Government will set out a support package for households struggling with energy costs.

Elsewhere, the Energy Secretary said Britain is “intensively” looking at what it can do to help reopen the Strait of Hormuz.

Asked on Sky News’s Sunday Morning with Trevor Phillips whether the UK was looking at sending minesweepers or minehunting drones to the region, he replied: “We are talking to our allies.

“There’s different ways in which we can make maritime shipping possible.

“We are intensively looking with our allies at what can be done, because it’s so important that we get the strait reopened.”

There are growing concerns that Iran has begun placing mines in the narrow sea passage as part of its blockade.

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US President Donald Trump urged the UK and other nations to send naval vessels to help secure shipping through the Strait of Hormuz (Mark Schiefelbein/AP photo)

Numerous oil tankers have come under fire as they attempted to pass through since the start of the conflict.

Minehunting drones are one of the options the UK is considering sending to the strait to unblock Iran’s stranglehold, it is understood.

The Sunday Times, which first reported the proposals, said the minehunting drones could be deployed from the Royal Navy’s Mine and Threat Exploitation Group, which is currently in the Middle East.

On Saturday, US President Donald Trump urged the UK and other nations to send naval vessels to help secure shipping through the Strait of Hormuz.

This came only a week after he said the US does not “need people that join wars after we’ve already won”, in response to reports that Britain was considering sending more warships to defend its bases in the region.

Shadow energy secretary Claire Coutinho said Mr Trump’s request for help “should certainly be explored”, as she appeared on the BBC.

The senior Conservative also said: “Our principle is that we should take action where it is in the national interest and where it is protecting our military assets abroad.”