A report has found new cars are using up to 60-per-cent more fuel than advertised on Government mandated Fuel consumption labels.

Research commissioned by the Australia Automobile Association tested 17 vehicles and found they are using an average of 25-percent more fuel than claimed.

The association is not naming or shaming particular manufacturers.

The association’s Chief Executive Michael Bradley says the Government should consider updating modelling and running it’s own real world tests on fuel use. 

He spoke with Oliver Peterson.