RMI calls for OFT fuel retail market investigation
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THE RETAIL MOTOR Industry (RMI) Federation has called for an immediate investigation into the UK fuel retail market, saying that “business and consumers deserve the truth about the costs and pricing of such a vital commodity”.
In a letter to Chancellor George Osborne, RMI Petrol chairman Brian Madderson says he has sent a formal submission to the Office of Fair Trading (OFT) alleging unfair pricing and competition practices in the road fuel industry, to the detriment of consumers, businesses and independent fuel retailers.
“This will be the most important study of the troubled UK fuels market for more than a decade. Rising pump prices show no sign of abating. Now more than ever it is crucial that the OFT obtain real transparency into the structure of wholesale costs and retail competition,” says Madderson.
With the average price of diesel at the pump now reaching a record high, rising by 10ppl (7%) in 12 months to 143.05ppl, RMI Petrol is also urging the Chancellor to scrap planned duty hikes, as well as implement a duty reduction.
RMI warns that a “perfect storm” of global factors, including rising crude oil prices, closing refineries and supply pressure could well push prices even higher by Easter.
The letter also calls on the government to reveal details behind the fair fuel stabiliser introduced in last year’s budget.