Fuel Prices

Part of Royal Assent – in the House of Commons at 3:37 pm on 15 November 2011.

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Photo of Alan Reid Alan Reid Liberal Democrat, Argyll and Bute 3:37, 15 November 2011

I congratulate my hon. Friend Robert Halfon on his campaign to secure today’s debate.

I represent a sparsely populated constituency where long drives for essential business are common, so I am well aware of the impact of high fuel prices on individuals and businesses. For example, the price of fuel on some of the larger islands in my constituency, such as Mull and Islay, is typically about 15p to 20p a litre higher than in a city centre supermarket, and on the smaller islands, such as Coll and Colonsay, the price is usually about 30p a litre higher. It should be stressed that this is not because of profiteering by the local filling stations. The reasons for the higher prices are low turnover, compared with all the fixed costs that a rural filling station has to pay, and the costs of the distribution network. The costs of fuel distribution in the highlands and islands are very high, and I hope that the Office of Fair Trading will investigate them.