Major boost to hard-pressed motorists as Chancellor Jeremy Hunt will NOT hike fuel duty in two weeks’ time

DRIVERS can breathe a sigh of relief as the Chancellor will not hike Fuel Duty in two weeks’ time.

Jeremy Hunt will protect the 5p cut to the tax on motorists at this month’s Autumn Statement — despite Treasury pressure to hike it.

And in a glimmer of hope for further tax cuts, sources say the Tory beancounter has yet to make a final decision on personal tax relief this autumn amid increasingly good forecasts.

But fears that putting more cash in workers’ wallets will fuel inflation might yet dash any good news when he gives the update on the nation’s finances on November 22.

However Mr Hunt already has significantly more headroom than last March’s Budget, with experts forecasting a £13 billion giveaway war chest.

That has helped the Chancellor bat away calls from officials to cancel the 5p cut, with one source saying: “As ever there was internal pressure to raise revenue this autumn from fuel but Jeremy has said no.”

No11 will receive the latest official forecasts from the Office of Budget Responsibility tomorrow with internal discussions about other possible tax cuts going to the wire.

Inflation and the freezing of tax bands means Mr Hunt has a far better than predicted tax take – with Tory MPs long calling on him to give cash-strapped Brits a break.

Former Cabinet Minister Sir John Redwood urged the Chancellor to go further, saying: “We need a tax cut.

“We need it for the economy.”

He added: “I would take the 5% VAT off domestic fuel for the next year and I would take a similar 5% off the price of petrol and diesel at the pumps by cutting fuel duties.”

Thanks to our Keep it Down crusade, Fuel Duty had been frozen at 57.95p since March 2011 and temporarily slashed by an extra 5p in 2022.

The 52.95p rate is due to expire in March next year – meaning a fresh battle against the hated tax is brewing ahead of the Budget in the spring.