Campaign group FairFuelUK (FFUK) has called again on chancellor Philip Hammond to use tomorrow's Autumn Statement (22 November) to cut fuel duty and boost the economy.
Following speculation that the chancellor will announce a freeze, FFUK urged him to go one step further and slash fuel duty by 3ppl.
The group argues that a 3ppl cut would create 8,000 jobs, boost income tax revenues and save the poorest 50% households a combined £1.9bn, based on research by CEBR.
FFUK said: “The chancellor must go further and cut fuel duty, proven empirically to be of no risk to the Treasury’s future tax income. A 3ppl cut in duty would add £850m to GDP with no change in the net tax position due to the loss of duty, simply because the levy reduction will be compensated by the boost to income tax revenues.
"The motivation to the economy, impact on lowering inflation and 37 million drivers’ cost of living would be considerable.”
FFUK campaigner Quentin Willson added: "Our CEBR report proves again there’s no cost to the government but huge benefits to businesses and families by cutting fuel duty. The chancellor can’t ignore our evidence."
Howard Cox, FFUK head, said a fuel duty cut would help Theresa May deliver on the promises she made when she became prime minister.
“It’s time for the government to truly deliver on the PM’s laudable intentions and help millions of hard working families, small businesses and the haulage industry to prosper.”