Following April 1st 2022 the government has made some serious changes to red diesel taxation in the UK. This means that the government will be removing tax relief for red diesel for multiple industries.

Here at Western Fuel, we look into how this will impact you and your business.

This will see red diesel being banned for many current users who will need to find a suitable alternative.

What is Red Diesel?

Red diesel, which is also commonly known as gas oil, is standard diesel that has been dyed with a red marker to signify its low duty rate.

Because of this low rate, it’s illegal to use red diesel in road vehicles and must only be used in untaxed off-road vehicles, such as in agricultural, industrial and construction machinery.

Why is it changing?

As part of the government’s commitment to achieving Net Zero emissions by 2050 it was announced that the eligibility to use Red Diesel will be removed for many businesses and sectors.

This change is being introduced in part to help promote the use of green fuels instead of fossil fuels.

Who can still use Red Diesel?

Who Can Who Can’t 
  • Agriculture
  • Amateur Sports Clubs
  • Golf Courses
  • Fish Farming
  • Forestry
  • Horticulture
  • Non-Commercial Heating
  • Public Sector
  • Rail
  • Travelling Fairground
  • Airport Operations
  • Commercial Generators
  • Commercial Heating
  • Construction
  • Haulage
  • Leisure
  • Logistics
  • Manufacturing
  • Mining and Quarrying
  • Ports
  • Plant Hire
  • Road Maintenance
  • Waste Management

If you are no longer permitted to use Red Diesel, it’s important to run down your existing stocks in advance of the deadline.

Our team are on hand to assist you with any questions you may have. Simply call 01278 431 451 or send us an email at info@westernfuel.co.uk