Autumn Budget 2026: fuel prices, MOT and car tax changes for UK drivers

Autumn Budget 2026: the key facts for motorists

Will petrol and diesel prices rise after the Autumn Budget?

Fuel prices will not automatically change on Budget day. Pump prices depend on wholesale fuel costs, exchange rates, retailer margins, fuel duty and VAT. The policy decision to watch is whether the government keeps the two remaining fuel-duty increases.

The confirmed fuel-duty timetable is:

These fill-up figures are estimates. VAT is charged at 20% on road fuel, including the duty within its price, so a 2p duty rise can add about 2.4p per litre if it is passed on in full. The full reversal of the temporary 5p cut, measured from the rate that applied before September 2026, would add about £3.30 to a 55-litre fill including VAT.

Until the Budget is delivered, headlines saying that a rise has been “scrapped” or “confirmed” should be treated cautiously unless they link to an HM Treasury or HMRC announcement.

How to find cheaper petrol and diesel near you

Even when fuel duty is fixed nationally, local petrol and diesel prices can vary between forecourts. Compare the price per litre, how recently it was updated and the extra distance needed to reach the station. A cheaper pump can cost more overall if the detour uses most of the saving.

Motorbook shows nearby petrol and diesel prices using the government's Fuel Finder data. Its Worth the drive? calculation estimates the pump saving, extra return mileage, fuel used on the detour and time added to the journey. Fuel prices are for information only, so always confirm the price displayed at the pump.

Is the Autumn Budget changing MOT rules or MOT prices?

No MOT change has been confirmed for the Autumn Budget. The current rules still apply:

• Most cars need their first MOT by the third anniversary of registration and another test every year after that.
• A car MOT can cost up to £54.85; test centres may charge less.
• You can get an MOT up to one month minus one day before it expires and keep the same renewal date.
• Driving without a valid MOT can lead to a fine of up to £1,000, except for limited journeys such as travelling to a pre-arranged test.

Drivers can check an MOT due date and MOT history on GOV.UK using the registration number. The record shows previous pass or fail results, recorded mileage and any defects or advisories.

Before the test, check lights, tyres, wipers, washers, mirrors, registration plates and warning lights. These simple checks do not guarantee a pass, but they can catch visible problems before the car reaches the test centre.

How much is car tax in 2026?

Vehicle Excise Duty, usually called car tax or road tax, depends on the car's registration date, CO2 emissions, fuel type and original list price.

For most petrol, diesel, electric and alternative-fuel cars registered on or after 1 April 2017, the standard rate from the second tax payment onwards is £200 for 12 months. The first-year rate for a new car is based on CO2 emissions and currently ranges from £10 to £5,690.

An additional £440-a-year Expensive Car Supplement can apply for five years from the second tax payment. The list-price threshold is more than £40,000 for petrol and diesel cars and more than £50,000 for electric cars under the current rules. Different rates apply to cars registered before April 2017, so check the vehicle rather than relying on a general figure.

Paying yearly by Direct Debit or as a single 12-month payment has no surcharge. Paying monthly or every six months by Direct Debit adds 5%.

When does the electric-car pay-per-mile tax start?

The government says Electric Vehicle Excise Duty (eVED) will start on 1 April 2028. The published proposal would charge it in addition to normal Vehicle Excise Duty at these initial rates:

• Battery-electric and hydrogen fuel-cell cars: 3p per mile.
• Plug-in hybrid cars: 1.5p per mile.

At 8,000 miles a year, that would be about £240 for an electric car or £120 for a plug-in hybrid before any later uprating.

The system will not use GPS tracking. Drivers will provide an odometer reading and estimate their mileage for the coming tax period, then reconcile it against the year-end reading. The government says existing MOT mileage data may be used to check that reported readings are consistent and up to date.

What should drivers do before 28 October?

1. Check your car-tax status and renewal date. Use the official GOV.UK vehicle-tax checker and avoid unofficial renewal sites that may add fees.
2. Check when your MOT is due. Book early enough to deal with repairs, but within one month minus one day if you want to keep the same annual renewal date.
3. Compare nearby fuel prices. Look at petrol or diesel prices and the cost of the journey, not only the cheapest number on the map.
4. Review the way you pay car tax. Paying for 12 months avoids the 5% surcharge applied to monthly and six-month Direct Debit payments.
5. Wait for the published Budget documents. Pre-Budget reports can be useful signals, but they are not policy until the government confirms them.

Motorbook keeps MOT and tax dates, reminders, MOT history and nearby fuel prices together on your iPhone. Add a registration to see the dates attached to that vehicle, then set reminders before they are due.

Motorbook is independent and is not affiliated with DVLA, DVSA or GOV.UK. This article is general information, not tax or legal advice. Check the latest official guidance for your vehicle.