 In the budget of 2012 Osborne confirmed the 3p August rise, before first postponing it and then cancelling it in December 2012.A further proposed inflation-based increase in fuel duty was cancelled by the chancellor in March 2013.In March 2016, with oil prices at about $40 a barrel, and following widespread speculation that the duty would be increased at a time of record low oil prices, the chancellor froze fuel duty for the sixth year running, and reduced the tax on North Sea oil firms.