Petrol and diesel drivers in England are being handed £9 price cuts at the till at UK forecourts every time they fill up. The Competition and Markets Authority (CMA) has stated that drivers could save £9 per tank when using the Fuel Finder tool.
CMA Report Findings
The latest road fuel report from the CMA states that there was no evidence that retailers were altering prices to take advantage of the fallout from the Iran war, with the Strait of Hormuz closed and fuel prices skyrocketing. However, the CMA said it remained concerned that high retail margins reflect a continuation of the weak competitive dynamics first identified in its report from 2023.
Sarah Cardell, chief executive of the CMA, said: "While our analysis shows the rise in wholesale prices is the main reason for higher fuel prices, we remain concerned about weak competition in the sector, leaving drivers paying more. Retailers should be in no doubt that we are continuing to monitor prices and margins closely and expect any reductions in wholesale prices to be rapidly and fully passed on to drivers."
Fuel Finder Tool Savings
Drivers could save an £9 per tank when using the Labour Party government's Fuel Finder tool, she also stated. Where certain individual retailers have increased margins in March, this is due in part to retailers following competitors’ price increases and setting prices to mitigate supply constraints and inventory pressures, alongside differences in their purchasing costs, the CMA said.
Historical Margin Levels
The CMA also noted that throughout this period, average fuel margins for both supermarket and non-supermarket retailers remained at historically high levels and, in a number of cases, individual retailer margins increased slightly in April – bringing the average to 11.3 pence per litre.
Ms Cardell added: "In the meantime, Fuel Finder can help drivers save up to £9 a tank. The more motorists make use of Fuel Finder-backed services, the better it works – saving money now and driving down prices in the long run."
