Fuel Forecourts Criticised Over Rising Petrol and Diesel Prices

Introduction

Recent sharp increases in petrol and diesel prices have raised concerns among transport operators, drivers, and compliance professionals. These price changes have occurred despite fuel stocks being purchased before the escalation of the current Middle East conflict, prompting accusations of profiteering at fuel forecourts.

Fuel Price Increases and Market Context

The AA has warned that fuel costs could return to levels seen at the start of the year following threats from Iran to attack vessels passing through the Strait of Hormuz. However, industry experts note that any rise in Brent crude oil prices typically takes time to affect forecourt prices.

Despite this, the FairFuelUK campaign has reported receiving over 120 complaints from supporters about recent fuel price increases. Howard Cox, founder of FairFuelUK, stated that many forecourts appear to be selling fuel at higher prices even though their stocks were purchased before wholesale price rises, suggesting opportunistic profiteering.

Industry Responses

The Petrol Retailers Association (PRA) attributes the increase in petrol and diesel prices to the conflict involving the US and Israel with Iran, which has raised wholesale costs. PRA director Gordon Balmer highlighted the economic impact of rising fuel prices, including higher inflation and pressure on household budgets. He has called on the Chancellor to reconsider planned fuel duty increases to alleviate the burden on motorists and businesses.

Conversely, the RAC has indicated that the UK should not experience a sudden spike in fuel prices, as wholesale costs have only risen gradually. Simon Williams, RAC head of policy, urged retailers to avoid passing on price increases prematurely and to reflect wholesale price changes fairly at the forecourt.

Practical Advice from Mi Compliance

Transport operators and drivers should monitor fuel price trends closely and maintain accurate records of fuel purchases to support cost management and compliance. Awareness of market factors influencing fuel prices can aid in budgeting and operational planning. For further guidance on managing fuel costs and compliance, contact Mi Compliance. Source: https://motortransport.co.uk/forecourts-accused-of-ramping-up-fuel-prices-amid-war-in-middle-east/89506.article