- Chancellor presents 2014 Autumn Statement
- Road network gets £15bn investment boost
- Freeze on fuel duty cut remains in place
The Government’s autumn statement took place earlier today and with it the big news for motorists is that fuel duty will remain frozen, a relief for drivers as many economists had predicted the return of the fuel price escalator.
Remaining at the same level set in 2011, 57.95p of every litre of petrol and diesel sold goes straight to the government as tax.
Other transport related news from Chancellor George Osbourne's statement includes further confirmation of the £15 billion investment in the UK’s road network which will see 1,300 miles of roads upgraded across 100 locations around the country.
Among the key improvements are a tunnel under Stonehenge to tackle the congestion on the passing A303, upgrading the A1 to at least dual carriageway status all the way from London to Ellingham, an extra lane is to be added on the M62 from Manchester to Leeds and around 10 of the 33 junctions on the M25 are also to be upgraded.
The Autumn Statement is a chance to flag future tax and spending plans as well as set out the state of the nation's finances, particularly pertinent in the run up to May's General Election.
Other big news from the statement includes;
- Stamp duty is to be reformed which from midnight tonight, with each tax rate only applying to a proportion of the selling price, not the whole value of the property which, according to the Chancellor, will benefit 98 percent of homeowners.
- The tax-free Personal Allowance, which was set to rise to £10,500, will rise instead to £10,600.
- Business rates relief doubled for a further year and inflation-linked increase in business rates capped at two percent.
- The government's annual spending and taxation plans will apparently move the UK out of the red and into surplus of £4 billion by 2018-19.
- A new 25 percent tax on profits generated by multinational companies will be introduced to stop them shifting profits offshore.