Statement on Change in Rebated Fuels

• 03/21/2022
• ese News
• ie_admin

The change in the rebating of fuel and how it affects you.

From the 1st April 2022 the rebated tax on red diesel will no longer be applied to red diesel
for many in the UK. Only the following sectors may continue to operate using red diesel as
normal;

• Vehicles and machinery used in agriculture, horticulture, fish farming and forestry.
  This includes allowing vehicles used for agriculture to be used for cutting verges and
  hedges, snow clearance and gritting roads.
• To propel passenger, freight or maintenance vehicles designed to run on rail tracks
• For heating and electricity generation in non-commercial premises – this includes the
  heating of homes and buildings such as places of worship, hospitals and townhalls;
  off-grid power generation; and non-propulsion uses on permanently-moored
  houseboats
• For maintaining community amateur sports clubs as well as golf courses (including
  activities such as ground maintenance, and the heating and lighting of clubhouses,
  changing rooms etc.)
• As fuel for all marine craft refuelling and operating in the UK (including fishing and
  water freight industries), except for propelling private pleasure craft in Northern
  Ireland.
• For powering the machinery (including caravans) of travelling fairs and circuses.
  Furthermore, you can use up your stock of rebated fuel after the rules change, providing you
  obtained and stored it before 10 June 2021 (when the Finance Act 2021 introducing the
  legislative changes received Royal Assent) for the following:
• contingency back-up electricity generation in premises used for commercial purposes;
  and
• critical safety and environmental protection appliances or machines in premises used
  for commercial purposes.

If you have stocks of rebated fuel held for use as contingency back-up but which were
obtained after 10 June 2021, or you need to continue to use rebated fuel for technical or
safety reasons, you may be granted a licence by HMRC to continue using rebated fuel.

Click to continue reading our Statement on Change in Rebated Fuels