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Road Fuel Market

06 November 2024

Lead MP

Graeme Downie

Debate Type

Adjournment Debate

Tags

EconomyTransport
Other Contributors: 1

At a Glance

Graeme Downie raised concerns about road fuel market in the House of Commons. A government minister responded. Other MPs also contributed.

How the Debate Unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said:

Lead Contributor

Opened the debate
Fuel pricing has been a concern for residents of Dunfermline and Dollar since the MP's election in July. The Competition and Markets Authority (CMA) found that weakened competition in the fuel sector negatively impacts drivers, with overcharges costing motorists £900 million in 2022 and £1.6 billion in 2023, totaling £2.5 billion in two years. Despite local supermarkets supposedly competing, residents pay higher prices due to perceived price clustering, which disproportionately affects rural areas with poor public transport. Small businesses also face increased costs, squeezing already thin margins during the cost of living crisis. The MP highlights a constituent’s experience showing how high fuel prices impact lower-paid workers and apprentices like Aimee, who needs to work additional hours just to afford her daily commute due to higher local fuel prices.

Government Response

EconomyTransport
Government Response
The Minister congratulates the lead MP for securing the debate and highlights the Government’s commitment to addressing fair fuel pricing. The Competition and Markets Authority (CMA) found significant price differences between local areas, with higher prices in rural areas lacking supermarket competition nearby. To address these issues, the CMA recommended an open data scheme called ‘fuel finder’ to require retailers to share real-time prices, and a monitoring function for assessing market competition. The Government accepted both recommendations and will implement fuel finder by the end of 2025, providing legislative basis with the Data (Use and Access) Bill. Additionally, the Digital Markets, Competition and Consumers Act 2024 grants CMA statutory information-gathering powers to monitor competition. These measures aim to increase price transparency and protect consumer interests, estimated to save drivers £7.7 billion over ten years through increased competition at petrol stations.
Assessment & feedback
Summary accuracy

About House of Commons Debates

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