Tánaiste Simon Harris has given the strongest indication yet that the Government could postpone the planned increase in diesel excise duty as part of Budget 2027.

Harris has indicated that fuel tax remains under consideration in Budget negotiations, with high pump prices raising questions about whether the scheduled restoration of excise duty should go ahead. No decision has been announced.

For Irish hauliers, the timing is critical. The temporary excise reduction has offered some relief from soaring diesel costs, but a phased restoration is due to begin in November. Allowing that increase to proceed while fuel prices remain elevated would add another cost to businesses already operating under intense pressure.

A few cent per litre quickly becomes a significant bill across a fleet. Many operators cannot immediately recover higher fuel costs, particularly where they are tied to long-term customer contracts. Those costs eventually work their way through the supply chain.

Harris’s comments suggest the Government recognises the difficulty of raising fuel duty in the middle of a fuel crisis. For the haulage industry, however, a Budget signal is no substitute for certainty. Operators need to know whether the November increase will be deferred and, if so, for how long.

Budget 2027 is an opportunity for the Government to prevent a further rise in diesel costs and give transport businesses a clear basis on which to plan. Simon Harris has opened the door to postponement. Hauliers will now be looking for a firm commitment on Budget Day.