Filling stations have pocketed an extra £1.6 Billion from motorists through overcharging on fuel, according to the latest Competition and Markets Authority.
Supermarkets and roadside filling stations have steadily increased their profit take per litre and it raises questions about a possible illegal cartel operating behind the scenes with rivals reluctant to break the spiral.
RAC head of policy Simon Williams said, “This, the third report from the CMA, contains many findings that we feared. To see that drivers have paid £1.6bn more than they should have in the last year is nothing short of outrageous, especially when so many are dependent on their vehicles. Drivers have every right to feel ripped off, especially knowing there is virtually no market competition between retailers.
“The report is, once again, confirmation of what we have known and been campaigning against for many years. Our analysis has long shown that even accounting for retailers’ increased operating costs, margins on fuel are at extremely questionable levels.
“The CMA couldn’t be any clearer about what needs to happen. We have already written to the new energy secretary, urging him to implement its recommendations as quickly as possible. This means greater transparency of fuel prices from all retailers and, most importantly of all, a price monitoring body that can take decisive action on retailers whenever drivers are overcharged. This can’t happen soon enough.”
The report was published as UK drivers prepared for their annual summer getaway with millions making their way to popular holiday destinations and abroad and fuel demand soaring as a result.
