Summary
The UK's competition watchdog reported that profit margins for petrol and diesel are still high, even though fuel prices at gas stations have dropped. The Competition and Markets Authority (CMA) stated that poor competition among fuel sellers contributes to this issue and that more competition could lead to lower prices for drivers.
Key Facts
- The CMA noted high profit margins for petrol and diesel despite lower pump prices.
- It found that poor competition among fuel retailers keeps prices high.
- The report is the first annual monitoring report by the CMA on road fuel.
- Petrol was priced at 136.8p per litre last week, and diesel was 146.1p.
- A new "fuel finder" scheme will allow drivers to compare real-time fuel prices.
- Retailers will need to report price changes within 30 minutes under this new scheme.
- The CMA said higher operating costs do not fully explain the high profit margins.
