Report on the Spring Budget 2024


HM Treasury website
Chancellor's speech
Spring Budget 2024 document

See a guide to Budget statement buzzwords. More...

Spring Budget 2024: what did Jeremy Hunt unveil?
Chancellor of the Exchequer Jeremy Hunt delivered his Spring Budget Statement on Wednesday 6th March 2024 to the House of Commons and updated MPs on the country's finances and the Government's plans for tax and public spending, based on the latest forecasts from the Office for Budget Responsibility (OBR). The Chancellor's statement provided information on the UK Government's anticipated revenue generation and announcements on plans for taxation and public spending.

The Chancellor has often ruled out the possibility of tax cuts in the near future, saying it will be 'virtually impossible' to do that until the UK Government's high debt levels are brought down and the economy is under control. But it seems the Chancellor felt modest tax cuts we possible after all, so long as it meets his target of continuing to reduce inflation.

The Spring Budget Statement started at 12.30pm after Prime Minister's Questions and ran for an hour. Spring Budget Statement

As usual we have a prompt report on the statement and the measures announced by the Chancellor of interest to classic motoring enthusiasts which is posted here within an hour or so of his sitting down in the House of Commons.

Posted: 240306
Report on the Spring Budget
As usual we have a prompt report on what the Chancellor has had to say which we have released shortly after he finished his statement to MPs which highlights the key points of interest to V8 Register members..

See our earlier report on fuel duty

Fuel duty freeze continues for another year
The Chancellor announced the fuel duty freeze will continue for a further 12 months to March 2025. The average car driver will save £50 this year as the 5p cut and freeze to fuel duty is maintained. Fuel duty is a tax included in the price you pay for petrol and diesel at filling station pumps and also on oil used for heating. Treasury officials have reportedly told Jeremy Hunt he needed to hike the rate by at least 2p to try and recover around £5bn of tax revenue lost each year since the duty was reduced. That would have seen fuel duty rising to 55p a litre for petrol and diesel and with the addition of VAT, there is a compounding effect on any fuel duty rise. Hunt has previously said that any continuation of the current freeze would be depend on the state of public finances. Clearly there are concerns that any increase in fuel duty with VAT would not only hit motorists but would also have a multiplying effect in the economy too leading to an inflationary effect when his aim is to continue bringing UK inflation down

VED rates increase in line with RPI from 1st April 2025
GOV.UK documents released promptly following the Chancellor's statement indicate the VED rates for cars registered before March 2001 have been increased, so RV8 owners in the UK will have to pay a 6.15% increase in their annual road tax.


Link to GOV.UK document

Insurance premium tax
No change to Insurance Premium Tax (IPT).



Freeze on alcohol duty
Pubs, breweries and distilleries will benefit from a further freeze on alcohol duty until February 2025 – which will also save consumers money on their favourite tipple.

One-off rise in Air Passenger Duty for business and first class
The Government is making a one-off adjustment to rates of Air Passenger Duty (APD) on non-economy passengers to account for high inflation in recent years and help to maintain the value of APD in real terms. For those in economy class on domestic or short-haul flights, rates will remain frozen, benefiting more than 70% of passengers and keeping the cost of flying down.
V8 Register - MG Car Club - the leading group for MG V8 enthusiasts at www.v8register.net