Oil drops 5%, will pump prices follow soon too?

Today oil prices dropped over 5% to $67. With exchange rates at 1.26 dollars to £1, the price of Brent Crude is £53 per barrel. When oil was priced at this level on the 5th April, petrol was 6p lower on today’s average prices at £1.235 and diesel 4p lower at £1.31.

With Oil prices at the same levels at early April, wholesale prices have increased for petrol by 4.6p and retail nearly 2p more at 6.5p higher. Diesel wholesale is up 2.1p with its retail price double at 4.2p per litre. Retailers have held back back 2p per litre being passed onto drivers in the last 7 weeks.

On 24th April  the Exchequer Secretary, Robert Jenrick met with MPs from the APPG for Fair Fuel and the FairFuelUK Campaign. Following that meeting he said: “We had a productive meeting with FairFuelUK and members of the APPG for Fair Fuel for UK Motorists and UK Hauliers. We discussed FairFuelUK’s proposal for a voluntary code to encourage fuel retailers to provide greater transparency to consumers in relation to wholesale fuel prices and the prices being charged at the pump. I look forward to hearing about their proposal in more detail and continuing to work with them.”

Since that meeting, draft plans for a PumpWatch voluntary code have been presented to the APPG MPs by FairFuelUK to: Douglas Ross, Kirstene Hair and Robert Halfon. These plans are being refined and costed to present to the Exchequer Secretary after the Parliamentary recess.

The Government has always said that 37m drivers see pump fill up costs reflect oil price changes within 7 weeks. But this claim is in no way ever reflected in the wholesale and retail data collected and witnessed in reality at the forecourts by consumers.

Howard Cox, Founder of the FairFuelUK Campaign said:”Everything about the shadowy world of the vehicle fuel supply chain has a musty repugnant smell about the way it formulates pump prices. In the last 12 months, the fuel supply chain has consciously held back wholesale changes amounting to billions. Even if half of these figures had been in driver’s pockets, what would that have done to consumer spending, inflation, jobs and economic growth?”

Quentin Willson, Motoring Journalist and Broadcaster and FairFuelUK spokesman said: It is refreshing that the Government is waking up to the perennial fleecing of hard-working drivers and small businesses that they had previously denied. If millions of motorists can see this rip off taking place every time they fill up, why can’t Whitehall? The Chancellor would definitely have more cash for the NHS, elderly care, roads and help in lowering emissions. By introducing PumpWatch, this would check this opportunistic commercial profiteering for good!”

Robert Halfon MP said: “Our April 24 meeting with the Minister and his receptiveness marks an important, and really positive, step in our campaign to cut the cost of living and keep prices down for hardworking motorists at the pumps. I am working hard with him, FairFuelUK and my colleagues on a voluntary code to ensure motorists are no longer ripped off by fuel retailer giants.”

Douglas Ross MP and Chair of the APPG Said: “Back in April, the Minister was receptive to the arguments for greater transparency on fuel prices and the aim to pass on price reductions quicker to consumers.  We are working diligently with FairFuelUK and will shortly present our workable plans to the Treasury for a voluntary code. We will definitely progress this matter to make a big difference to drivers across the UK.”


Source: Uk Haulier

Oil drops 5%, will pump prices follow soon too?

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