Why the full fuel duty cut is not being passed on to drivers as oil and petrol prices fall

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Prices at the pumps fail to reflect 5p per litre tax cut and recent drop in oil costs

Drivers around the UK are still not seeing the full benefits of the cut in fuel duty, a week after the change was introduced.

Chancellor Rishi Sunak announced a temporary 5p per litre reduction in the levy from 6pm on Wednesday 23 March but seven days later and with the price of oil also falling, forecourt charges have failed to come down in line with the cut.

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Some retailers, including the major supermarket chains and larger operators such as Shell and BP did say they would pass the tax saving - equivalent to 6p per litre after VAT - but the price at many other pumps does not reflect that.