Local politicians remain concerned for Borderers struggling with the rising cost of living, as fuel price discrepancies widen across the area.
Fuel prices have been rising as a result of the increasing cost of crude oil, and a growing gap between the price of crude oil entering refineries and the wholesale price of petrol and diesel leaving them. Russia’s invasion of Ukraine and the global economic recovery from the Covid-19 pandemic have been key catalysts.
John Lamont MP welcomed fuel market action by the UK Government, which launched a review on the sector in June. The review found that the UK Government’s 5p cut to fuel duty appeared to be reflected in prices, but that some retailers were implementing this more gradually than others. The Competition and Markets Authority (CMA) launched a market study in July to examine the market in greater depth, and an interim update is due to be published in the autumn.
The UK Government has cut fuel duty for twelve consecutive years and recently delivered a £5bn package of relief to support fuel consumers. However, Mr Lamont has been clear that this is being eaten up by the rising cost of fuel.
In June, Mr Lamont identified increased fuel prices in the Borders compared with more urban parts of Scotland. PetrolPrices.com is recommended by the Money Saving Expert and compares the cost of fuel offered by different providers in the local area. The Petrol Prices search engine confirmed a concerning disparity between prices available to rural and urban fuel consumers.
Sandy Scott, Scottish Conservative councillor for Jedburgh and District, has joined the local MP’s campaign calling out fuel retailers for disparities at the forecourts.
Based on the most up to date data offered by PetrolPrices.com in the week up to 10 August, evidence showed that differences were more stark and closer to home than in June. While the price of unleaded petrol in Shell’s Galashiels store was 167.9p, this was 175.9p in the company’s Jedburgh base. Similarly, BP’s Peebles branch offered unleaded petrol at 172.9p, whereas it was almost 10p higher, at 181.9p, in St Boswells. The cost of diesel in Galashiels was 176.9p, significantly lower than 185.9p in Coldstream.
John Lamont MP said:
“Local residents continue to contact me with legitimate concerns about the cost of fuel. As a rural community, using a car is often crucial for Borderers to go about daily life. However, current prices continue to put a strain on hard-working local families.
“While prices have come down slightly since my research in June, overall, they remain eye-wateringly high.
“My research confirms that prices on the forecourts continue to be a postcode lottery in the Borders. This is unacceptable, and retailers must be held accountable for the continuing shocking discrepancies in prices.
“I will continue to work closely with the UK Government on this matter, and eagerly await the CMA’s autumn interim update on the fuel market.”