HARD-PRESSED MOTORISTS NEED TO BE PROTECTED

WE all know that the price of oil fluctuates throughout the year. However, drivers filling up at the pumps very often do not see the benefit when the price is low. I have been chairman of the All-Party Parliamentary Group on Fair Fuel for almost a year – and it has become abundantly clear to me that action is required to protect hard-pressed motorists.

Figures from the past few months highlight exactly why so many drivers have signed up to the Fair Fuel petition in the past fortnight.

From the beginning of October to the end of December, the wholesale price of diesel fell by 13 per cent. But that did not mean a better deal for the 37million drivers, businesses and hauliers in the UK.

In fact, the cost of filling up tanks at garage forecourts across the country fell by only 3 per cent – or 4p.

During the same period, the wholesale price of petrol was down 14 per cent, but pump prices by only 7 per cent.

To put it another way, from October to December, the global oil price fell 36 per cent – from the equivalent of £66 to £42 per barrel. But retail profits went in the opposite direction, rocketing by 101 per cent – from 7p to 15p a litre for petrol and 4p to 17p for diesel.

No one is suggesting that retailers should not make a profit. But it is unfair to pass on so little of the wholesale cost reduction to consumers.

One of the problems is that the divergence in pump prices can be utterly confusing for motorists to keep up with. At one point in November last year, oil hit £45 a barrel. In the past two years when oil was at that level, pump prices varied from £1.35 to £1.19 for diesel and £1.26 to £1.16 for petrol.

People are rightly asking how the price can differ so much.

Furthermore, there is often a huge disparity between urban and rural areas. In my constituency of Angus, for example, drivers pay very different prices depending on where they fill up. It has struck me time and again during my work with the parliamentary group that there is very little justification for this. It is simply unfair.

For someone living in a rural or remote area, public transport is often not an option. They also have very little choice of where to fuel up.

It makes little sense why my constituents in Angus, or those in the Highlands or the Borders, cannot all pay a similar amount for fuel within the same area. They should not be penalised just because of where they live.

It is clear FairFuelUK’s PumpWatch campaign has touched a nerve with people and business owners.

An e-petition launched on December 17 was signed by more than 14.000 people in ten days. That shows that drivers are thoroughly fed-up of feeling like they are being fleeced at the pumps.

A price monitoring system would help to level the playing field. It has to be an independent body, along the lines of Ofcom or Ofgem, to ensure public confidence. It could provide some reassurance to people living in rural communities that they will be paying a fairer price.

A watchdog could make a huge difference to millions of ordinary motorists, as well as businesses large and small, up and down the country.

Above all, it would also restore some power to consumers, who for far too long have been left out of pocket.

It is time for motorists and hauliers to get a fairer deal. The level of support for the petition to date shows the public agree.