Question to the HM Treasury:
To ask the Chancellor for the Exchequer, whether she has had discussions with the Secretary of State for Energy Security and Net Zero, on the potential merits of equalising the duty treatment of renewable liquid fuels, in the context of encouraging its uptake amongst consumers.
Renewable liquid fuels such as hydrotreated vegetable oil (HVO) are relatively new fuels and have limited availability in the UK. When used for domestic heating, HVO benefits from the rebated duty rate of 10.18p per litre, in contrast to the full duty rate of 52.95p per litre.
The Chancellor makes decisions on tax policy at fiscal events in the context of public finances.