Isle of Man extends 5p per litre cut to fuel duty in line with UK

Motorists on the Isle of Man will continue to benefit from reduced prices at the pump after an extension to a 5p cut in fuel duty.

Treasury Minister Alex Allinson confirmed the island would follow the move announced in the 2023 UK budget.

Introduced in 2022, the saving on fuel had been due to end in April.

The measure applies to the island under its Customs and Excise Agreement with the UK.

Under the reciprocal measures, taxes on alcohol, which had been frozen since the UK's 2020 Autumn budget, will rise in line with UK inflation and tobacco will see a 2% increase above inflation from August.

Those measures are separate from the 2023-24 Isle of Man budget, which Dr Allinson outlined to Tynwald in February.

That allocated a total of £1.2bn of government spending which has a focus on healthcare and education, which were given uplifts of £20.5m and £11.5m respectively.

Dr Allinson is due to deliver an update to politicians on the island's fiscal position in July.

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