Experts are warning that Sir Keir Starmer’s US trade deal could see diesel and petrol drivers being “clobbered” as fuel prices will become more expensive over the coming months.
This month Starmer brokered a trade deal with the US President whereby car export tariffs was reduced from 27.5% to 10%.
Despite this industry experts have warned the US trade deal might lead to cheaper imports of American bioethanol that is used to make unleaded petrol.
British bioethanol producers are warning of “dire consequences” as they will not be able to compete with US producers on prices.
Speaking to The Sun, Tom Reid of the Renewable Transport Fuel Association, said: “If the UK plants were to shut down as a consequence of this, it leaves the UK open to fuel security problems in the future, if, for whatever reason, the US stops exporting bioethanol to the UK.
“But by then the damage will have been done, the UK plants will have been scrapped, and we will have to import the bioethanol from somewhere else, which could potentially be very expensive – and it will be UK motorists who end up paying for it.”
The Liberal Democrat trade spokesman Clive Jones to call for Government action amid the warnings from experts.
He told The Sun newspaper, “This is a very worrying prediction for motorists who have already been clobbered by the cost of living crisis.
“The Government must publish a full impact assessment of its deal with Donald Trump, including any extra costs for motorists.”
Leave a Comment