Finance

‘Diesel charged at nine times the price at pump’

Despite the wholesale price gap between petrol and diesel now just at 1.5p, if you’re filling up a diesel vehicle at the pump you’ll be paying 20p, new data has shown

Diesel drivers have been charged 20p more to fill up their cars than petrol drivers – but the wholesale price is only 1.5p higher.

That’s according to data from the RAC Foundation, claiming that although retailers are paying their lowest in 15 months for wholesale diesel this is not being reflected in costs for the customers.

The wholesale price gap between petrol and diesel is now just 1.5p per litre but if you’re filling up a diesel vehicle at the pump you’ll be paying 20p per litre. This profit margin is double what petrol stations were making in 2021 and three times the amount they were making at the start of 2022.

The report claims retailers are taking heavy advantage of customers – still charging high prices whilst a barrel of oil has reached its lowest price since December 2021.

Simon Williams, RAC Fuel Spokesperson, said: “At a time when so many households are struggling with the rising cost of living, we’re pleased the Chancellor did the right thing for drivers and kept fuel duty low in Wednesday’s Budget.

“Unfortunately, the pricing tactics of major retailers mean that diesel drivers in particular – including those who work for millions of small businesses – are still getting a really miserable deal at the pumps and effectively aren’t seeing any benefit from the 5p duty cut whatsoever – as retailers are taking nearly four times this amount in margin with every litre they sell. So, in a peculiar way, it feels like it’s retailers who are benefiting from the lower duty cut right now and not motorists.”

Lobbying group FairFuelUK campaigns for drivers to ensure they are not being overcharged at the pump. Founder Howard Cox said: “Low-income motorists and particularly diesel drivers are still being ruthlessly ripped off at the pumps.

“A huge disappointment from the March 15th Budget was that the Chancellor, despite promises he would, did not mention the need for an independent pump pricing watchdog that would ensure filling up costs would be transparent, honest and fair.

“But the VAT keeps pouring into the Treasury, so why change anything? This duplicity has to stop, for the sake of the economy and UK’s 37 million drivers.”

The Treasury has been approached for a response.

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