The planned rise in fuel duty scheduled for September has been scrapped
Chancellor George Osborne has made good on his promise to freeze fuel duty until May next year in his latest budget speech.
Announcing the freeze in parliament today, Osborne confirmed that the planned rise in fuel duty in September would not take place. He noted that thanks to the freeze, petrol will be on average 20 pence per litre less expensive than it would have been under previous labour plans.
A new fund of £200 million was also announced to help local councils repair potholes on some of the UK's worst roads.
Speaking in the House of Commons, Osborne said: "If you're a maker, a doer or a saver: this budget is for you. This is a budget for a resilient economy."
Classic cars will now also be road tax exempt from the age of 40 onwards. The new policy will come into play on April 2014, at which point any car made before 1 January 1974 will be exempt.
Car tax is set to rise, with cars emitting more than 75g/km of CO2 increasing by two per cent, up to a maximum of 37 per cent of list price. The government has also said it remains committed to reviewing incentives for ultra low emission vehicles in the future.
The chancellor additionally confirmed plans to make road tax payable on a monthly basis, with any remainder required to be cashed in before a car is sold privately.
Answering the call of British-based businesses to encourage growth, Osborne said the government would double the amount of lending available to export companies to £3bn. Grants for small businesses were also extended to support 100,000 new apprenticeships across the country.
"I want the message to go out so that wherever you are in the world, you cannot fail to see the phrase made in Britain," said the Chancellor.
The Chancellor also revealed revised growth forecast figures for 2014, which move up from 2.4 to 2.7 per cent.