Reeves poised to cancel planned fuel duty rise to help with cost of living

Chancellor has been under pressure to extend 5p temporary cut at an estimated cost to government of £2.4bn a year

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Rachel Reeves is planning to cancel a rise in fuel duty this week when she unveils a package of measures to reduce the cost of living.

The chancellor will announce she will not put up the tax by 1p as was due to happen in September, government sources said, and she could cancel all of a 5p rise that is due to happen in stages over the subsequent six months.