| UK Diesel Price hits All-Time high Posted by IndustryInsider at 13:00, 28th September 2026 |     |
Petrol very high too.
Will 'drive' motorists to using the railways and the predictable cost of fares:
https://www.bbc.co.uk/news/articles/c6n4k987k981o
Double edged sword of course as cost of running diesel trains will also be higher!
| Re: UK Diesel Price hits All-Time high Posted by grahame at 13:11, 28th September 2026 | |
Petrol very high too.
Will 'drive' motorists to using the railways and the predictable cost of fares:
https://www.bbc.co.uk/news/articles/c6n4k987k981o
Double edged sword of course as cost of running diesel trains will also be higher!
Will 'drive' motorists to using the railways and the predictable cost of fares:
https://www.bbc.co.uk/news/articles/c6n4k987k981o
Double edged sword of course as cost of running diesel trains will also be higher!
For road diesel
In the UK, standard road diesel (white diesel) is subject to a flat fuel duty rate of 52.95 pence per litre, alongside VAT at 20%, which is charged on both the product price and the duty itself.
So a £2.00 litre that's 86p duty and VAT, and 114p for the fuel. Up from (example0 £1.50 per litre, from which just 72p to HMG
What is the situation with train diesel?
| Re: UK Diesel Price hits All-Time high Posted by Witham Bobby at 17:11, 28th September 2026 | |
Petrol very high too.
Will 'drive' motorists to using the railways and the predictable cost of fares:
https://www.bbc.co.uk/news/articles/c6n4k987k981o
Double edged sword of course as cost of running diesel trains will also be higher!
Will 'drive' motorists to using the railways and the predictable cost of fares:
https://www.bbc.co.uk/news/articles/c6n4k987k981o
Double edged sword of course as cost of running diesel trains will also be higher!
For road diesel
In the UK, standard road diesel (white diesel) is subject to a flat fuel duty rate of 52.95 pence per litre, alongside VAT at 20%, which is charged on both the product price and the duty itself.
So a £2.00 litre that's 86p duty and VAT, and 114p for the fuel. Up from (example0 £1.50 per litre, from which just 72p to HMG
What is the situation with train diesel?
The VAT element of the £2/l pump price has gone up from around 24p/l to 33p/l during this period of sharp price increase. The VAT is charged on the 53p of fuel duty, too - a tax on a tax
With a VAT yield increase amounting to around about 50% so far, it's little wonder that this spend spend spend government isn't doing much to help. They need the dosh
Traction diesel for the railways is fuel duty rebated (so called "red diesel", because it's dyed red to discourage use where road fuel duty should be paid) Users of this red diesel pay VAT on the cost of their diesel purchases, but most can re-claim that at the time of the quarterly or monthly VAT return
| Re: UK Diesel Price hits All-Time high Posted by bobm at 17:30, 28th September 2026 | |
Double edged sword of course as cost of running diesel trains will also be higher!
Long term it will, but rail may have an advantage in the short term having negotiated supply contracts for a number of months at a lower price.
| Re: UK Diesel Price hits All-Time high Posted by ChrisB at 17:40, 28th September 2026 | |
With all contracts being nationalised, those hedged deliveries will have finished. No TOC will have the ability to hedge for the Treasury.
