HM Government of Gibraltar has announced that the new duty on fuels will be set at 14 pence per litre, representing a 50% reduction from the original proposed rate of 28 pence per litre.

As with the original rate, 3 pence per litre from the new total will continue to be directed to the Gibraltar Climate Fund, ensuring that Gibraltar remains committed to investing in measures that address climate change and support environmental sustainability.

This revised approach reflects the Government’s response to wider geopolitical developments that have contributed to rising fuel prices internationally. In that context, the Government has acted to protect consumers and businesses from external economic pressures, while ensuring that support for the Climate Fund remains in place. This measure therefore forms part of a broader and balanced approach that provides practical relief to the community while continuing to support longer-term environmental goals.

The Government also takes this opportunity to remind the community that one of the simplest choices we can make to save money, improve health and protect the environment is to leave the car at home whenever possible and walk instead. In that way, challenges created by events beyond our control can become an opportunity to build healthy habits and a cleaner, safer Gibraltar.

The Chief Minister, the Hon Fabian Picardo KC MP, said: “We are working to protect people from the impact of rising fuel costs at the pump. While electricity prices in Gibraltar are already subsidised, fuel prices are more directly exposed to events beyond our shores. This is why the Government is acting to shield consumers and businesses from those pressures as far as we can.”