Despite enormous price rises in the last few years, an Office of Fair Trading report into the UK's fuel market found it is 'working well'.
Pump prices are rising yet again. The wholesale cost has risen almost seven per cent since Christmas alone. Now they want answers.
Petrol prices have fallen but drivers are still being short-changed, according to the AA.
Different costs make up the price of petrol at the pump, for example at 130p per litre:
- The actual cost of fuel would be around 48p
- The retailer gets about 5p
- 80p goes on tax and VAT
Later today the Office of Fair Trading will release their findings into whether reductions in the price of oil are being passed on to motorists.
Speaking to ITV Daybreak, Quentin Wilson from the FairFuelUK Campaign said: "[Petrol] is a forced purchase, nobody wants to make, there is a possibility of monopolistic and anti-competitive practices. We cannot afford this at the moment."
At 10am the Office of Fair Trading will announce its action/ inaction on fuel prices. The last time the OFT conducted an inquiry into the UK retail fuel market was in 1998.At that time there was horror at the price of 10.2p a litre! (minus duty).
The consumer regulator, The Office of Fair Trading (OFT), will release the findings of its review into whether reductions in the price of crude oil are being passed on to motorists.
ITV Daybreak spoke to customers at a petrol station who said that prices were too expensive and that there should be more consistency on price.
– RAC technical director David Bizley
We hope the OFT's findings will finally bring some much-need transparency to fuel pricing.
While people understand petrol retailers' need to raise prices when industry wholesale costs go up, it is extremely frustrating to watch prices go up far faster than they ever come down.
Rising fuel prices cause economic hardship for millions and hinder the growth of the economy, so it is vital that the process is both fair and clear.
- The UK retail road fuels sector is estimated to be worth around £32 billion
- Petrol prices rose by 38% between June 2007 and June 2012
- Diesel prices went up by 43% over the same period
– The founder of campaigners FairFuelUK, Peter Carroll
Today's report by the OFT should call for a landmark full investigation into why the UK road fuel market is so dysfunctional with its regional variations, slow price falls, apparent market monopolies and pump prices that are measured in nine-tenths of a penny.
There is a suspicion that some people are making a lot of money speculating in the petrol and diesel market that is essential for every family and business in the country. This needs to be fully examined and these suspicions addressed.
Today the Office of Fair Trading (OFT), the consumer regulator, will release the findings of its review into whether reductions in the price of crude oil are being passed on to motorists.
The watchdog launched its review in September and called for information from the industry, motoring groups and consumer bodies amid concerns over the prices charged for petrol and diesel at the pumps.
The OFT said on launching the review that it would explore a number of claims about how the road fuels sector is functioning, including whether supermarkets and major oil companies are making it more difficult for independent retailers to compete.
The review also considered whether there is a lack of competition between fuel retailers in some remote communities.
Around 300,000 more homes are likely to have been pushed into "fuel poverty" by Christmas, a campaign group has warned.
The Fuel Poverty Advisory Group says six million people are now struggling to pay their energy bills.
It comes as the industry regulator Ofgem announced a multi-billion pound network upgrade, adding yet more to the bill of every consumer.
Stephen Douglas reports: