Peter Dutton and the Federal Opposition have already started rebutting the Labour government’s 2025-26 Budget announcement on Tuesday night, and have promised to halve the current fuel excise on petrol and diesel should they win election.
The potential cut would take the excise from 50.8 cents a litre to 25.4 cents would last for 12 months and come in at a cost of $6 billion.
Legislation for the excise cut would be introduced on the first parliamentary sitting day after the election so it could come into effect “as quickly as possible”.
Dutton says the excuse cut would save families that fill their vehicle up once a week roughly $14 weekly and would help aid small businesses.
“The cost-of-living relief will make a real difference to families and small businesses,” Dutton says. “Everyone from tradies, to mums and dads, to older Australians, and to transport delivery workers.
“The commute to work, taking the kids to school or sport, the family drive, or the trip to the shops will all cost less under the Coalition. Our plan will save many hundreds of dollars for families across Australia.
“Lowering costs to small businesses means lower costs for goods and services at the checkout.”
Dutton says the 12-month fuel excise cut would save more money for Australians than Labor’s proposed tax cuts, which would see taxpayers receive a cut of up to $268 from July 1 next year and up to $536 every year from July 1, 2027.
“If elected, we will deliver this cost-of-living relief immediately – whereas people have to wait 15 months for Labor’s 70 cent a day tax tweak.”
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