Government puts oil profits before people, says fuel price campaigner
16 January 2017
Author: Daniel Puddicombe
Fuel price campaign group, Fair Fuel UK, has accused the Government of "putting oil company profits before consumers' costs of filling up at the pumps."
The group said the average price of fuel between 13 October and 15 November 2016 increased by 2.3%, while the wholesale cost of oil fell by 3.3% in the same period.
Meanwhile, seven weeks prior to that, the wholesale price of oil dropped by 1.5% and Fair Fuel said these savings were not passed on to drivers. The Government said the price people pay at the pumps is dependant on the rises and falls of crude oil costs, the results of which take seven weeks to reach consumers.
"There is no logical or fair correlation between oil prices, wholesale prices or what we pay at the pumps as the Government claims," Fair Fuel UK said.
The Government also rejected calls from the body - which fights to keep pump prices low - to introduce an independent fuel price regulator, a move the group claimed would "help protect oil corporations' profits".
"A competitive market is the best way to keep prices low; a new regulator is not necessary," the Government said.
"The Government insists that 'falls in crude oil price reach the pumps within seven weeks', so why does the retail price line go up when the wholesale line falls? The two lines are supposed to follow each other and not go in opposing directions," said Quentin Wilson, lead campaigner for Fair Fuel UK. "Ministers and civil servants aren't seeing what every drivers in the UK sees daily. Falls in the price of oil aren't being passed onto consumers either quickly or fairly. This evidence proves conclusively that we need a regulator."