RYA delighted at Government decision on tax reform of red diesel

The RYA is pleased that following public consultation, HM Treasury has confirmed its decision to maintain recreational boaters' entitlement to use red diesel beyond April 2022.

Last year, the RYA responded to the HM Treasury red diesel consultation, making it clear that supply around the coast for recreational boaters could not be guaranteed unless the entitlement to use red diesel was removed from commercial boat operating industries as the cost of installing a second pump for white diesel would not be commercially viable in many harbours and ports. The RYA has always maintained that the simplest means of maintaining supply for all recreational boaters on the coast and on inland waterways is the use of duty-paid red diesel.

As part of the Spring Budget announcement, the Government stated that it is not changing the treatment of private pleasure craft in Great Britain where they will continue to be able to use red diesel and pay their fuel supplier the difference between the red diesel rate and the white diesel rate on the proportion they intend to use for propulsion.