SIR Keir Starmer is under mounting pressure to help fed-up drivers after the price of petrol hit 150p a litre for the first time in two years.
The Government has raked in an additional £67million in VAT since the Iran war began — while motorists have paid an extra £402million at the pumps.
Furious drivers want the Prime Minister to follow countries such as Spain, Norway and Portugal in cutting fuel duties.
UK supermarkets reported “temporary shortages” and “tight” supply at forecourts.
Sir Keir said of Britons: “I think, first and foremost, they are worried by what they see on their screens about the conflict, but also this deep sense inside: Will it affect me? Is it going to mean my energy bills go up?
“Is it going to be more expensive to fill up the car?”
READ MORE ON PETROL PRICES
Since the war began on February 28, petrol prices have jumped by 13 per cent, adding more than 17p to every litre of fuel.
The Treasury takes 52.95p a litre in duty plus 20 per cent VAT rate.
Figures from the RAC Foundation show the overall tax take per litre, combining both VAT and fuel duty, is 77.58p for petrol and 81.65p for diesel.
The RAC’s Steve Gooding said: “The bitter irony for drivers paying more by the day is that as they get poorer the Government gets richer.
“For all the Chancellor’s focus on profiteering by fuel retailers the truth is that the Treasury takes broadly half of the price of a litre of fuel in tax.”
Drivers are already bracing for the 5p fuel duty discount to be phased out from September, which will push pump prices higher.
Chancellor Rachel Reeves has vowed to give an update on that within the month.
Elsewhere, Spain has cut prices by 25p per litre for some fuels. In Sweden, duty on petrol is down by 7p per litre and 3p on diesel.
Ministers in Poland cut VAT on fuel from 23 per cent to eight per cent in a bid to curb inflation.
That move has led to German motorists flocking across the border to pay 24p less a litre.
India cut the tax duty on diesel from 7p a litre to zero. The duty for petrol was reduced from 10p to 2p a litre.
Norway will lose £250million in tax revenue when it brings in a temporary cut on petrol and diesel duty from next month.
Shadow Chancellor Sir Mel Stride said: “Britain is being taken for a ride by Rachel Reeves and it is families paying the price at the pump.
“While Spain, India and Norway cut fuel duty to back their people, Labour continue to squeeze our motorists dry.
“Reeves must axe the fuel tax hike, ditch the Net Zero dogma and drill in the North Sea to bring prices down.”
Robert Jenrick, Reform UK’s Treasury spokesman, said: “The Chancellor should follow the lead of other countries and halve VAT on fuel as an emergency measure.
“Motorists are being hammered at the pump and need some relief.”
UK fuel duty has remained frozen since 2011 thanks to The Sun’s Keep It Down campaign.
A temporary 5p cut was introduced after Russia’s invasion of Ukraine, but it is due to be phased out from autumn.
Under the plans, the duty rate will go up by 1p in September then 2p in December before the final 2p is added in March 2027.
But the Chancellor is also under significant pressure to balance the public finances this year after growth forecasts were downgraded.
She has pledged support for those who need it most, with the energy price cap expected to increase by £300 in July.
But all costs will eat into the £22billion financial cushion she has built up at a time when government borrowing costs are soaring.
Demands from unions, energy bosses and even opposition parties are calling for new licences for North Sea oil and gas, which would support jobs, increase tax revenues and lower prices.
Foreign Secretary Yvette Cooper met G7 counterparts in France where they blasted Iran for holding the global economy hostage.
Ms Cooper said she wanted a swift resolution to war that allows the Strait of Hormuz to open fully.
The passage is a vital supply route for oil and gas but the selective blockade of vessels is pushing up prices around the world.
A Treasury spokesman said: “Since the election, the Chancellor has extended the 5p fuel duty cut by 17 months, keeping it in place until September.
“This isn’t a war we started or a war we joined, but we recognise it is coming at a cost here at home – including at the pumps.
“We are monitoring the situation closely and the policy remains under review.”
