// BBC BUSINESS NEWS — FINANZA
Job cuts could fund diesel price drop says deputy
Prices at the petrol pump in Guernsey have reached record highs
A Guernsey deputy has said leaders could fund a fuel price drop for drivers by cutting civil servant posts.
Deputy Neil Inder said he plans to submit two amendments around the cost of fuel in relation to the upcoming States budget amid "exceptional circumstances due to global events".
The proposed amendments are to freeze fuel duty and to also cut the cost at the pumps of white diesel - used by cars, trucks and buses - by 5p.
Asked how the States would fund this, he added: "What the States needs to start looking at properly is reducing the size of the civil service."
Deputy Neil Inder said rising fuel price rises were set to get worse amid global unrest
In the 2027 budget, fuel duty is due to increase by inflation (4.3%) from 1 January 2027, increasing duty rates to 94.4p per litre.
With the war continuing in the Middle East, fuel prices have increased across Europe, with diesel prices hitting an all-time high, according to the RAC motoring organisation.
It comes as fuel prices recently hit record highs across Guernsey, and the price of diesel hit £2.00 per litre in the UK.
White diesel, used for regular road vehicles, is subject to the standard fuel duty rate, while red diesel, used in industries including farming and fishing, is a rebated fuel that is duty-free or has a heavily reduced tax rate.