Fuel price discussion thread (was ‘chaos’)

[MooMoo444]

Surely they need to consider reducing the fuel duty again? However, would that not require some sort of cap so the oil companies don't just keep increasing it even more...

Spoiler

That makes for painful viewing. Motorists are definitely being taken for a ride by the government.

 

[200sols]

That makes for painful viewing. Motorists are definitely being taken for a ride by the government.

And the public seems to think its retailers taking them for a ride.

If they cut duty by 10p or whatever people Will blame retailers for not passing it on, they don't appreciate they already have fuel on their tanks they need to sell first.

 

[Dis86]

Should have followed Greece's example. Have only businesses allowed to have diesel vehicles and then put no or minimal tax on diesel as that is the backbone of moving goods around.

They just removed duty breaks on diesel for a huge number of uk businesses, so basically the exact opposite of what they should have done.

 

[SDK^]

Why are retailers profiteering off of diesel. The whole country runs on diesel.

They aren't - 4% on diesel and 2% profit on petrol isn't profiteering

 

[Doobedoo]

They aren't - 4% on diesel and 2% profit on petrol isn't profiteering

Well it is an extra 2% on the most used fuel is profiteering. Otherwise they would be equal. They used to be a difference of 4p with diesel being 4p dearer, it was that way for quite a while until recently.

 

[200sols]

Well it is an extra 2% on the most used fuel is profiteering. Otherwise they would be equal.

Profiteering, please. Just think how many litres they need to sell to make anything meaningful, what about overheads, staff wages etc.

Most fuel stations make little, they turn a profit on the shop and if footfall goes down because less people are filling up then things get even harder. When you see a BP, shell etc they are franchises not usually owned by the oil company. Direct your anger at the real enemy.

Govt takes 80p per litre, greedy retailer takes 3-8p a litre..

 

[SDK^]

And the public seems to think its retailers taking them for a ride.

It's the same with the energy price - The wider UK community think it's the retail supplier conning them and making big profits, yet their profit is capped at about 5%. It's the producers making the big profits which could be based anywhere in the world, or be a local farm with some wind turbines.

 

[Doobedoo]

I was under the impression petrol stations make money via the forecourt shop rather than fuel. That doesn’t explain why petrol markup is 2% and diesel which is used by all businesses and the majority of the public is 4%.

 

[SDK^]

Well it is an extra 2% on the most used fuel is profiteering. Otherwise they would be equal. They used to be a difference of 4p with diesel being 4p dearer, it was that way for quite a while until recently.

Give it a rest - they have to make some money, otherwise what is the point of getting out of bed !
If all the fuel stations closed tomorrow because it wasn't worth their while, you and everyone else would be stuffed !

Pretty sure it would cost you more than 8p per litre to source your own fuel

 

[Doobedoo]

And you’ve misunderstood me no one is thinking retailers is making all the money, we know shell and the likes is making record level of disgusting amounts of profit.

 

[Doobedoo]

Give it a rest - they have to make some money, otherwise what is the point of getting out of bed !
If all the fuel stations closed tomorrow because it wasn't worth their while, you and everyone else would be stuffed !

Pretty sure it would cost you more than 8p per litre to source your own fuel

What are you on about.

 

[200sols]

I was under the impression petrol stations make money via the forecourt shop rather than fuel. That doesn’t explain why petrol markup is 2% and diesel which is used by all businesses and the majority of the public is 4%.

It varies week by week, its not a fixed % that is just an example. The larger ones can push enough volume to make fuel profitable but it really isn't that much, you see them making 5p per litre but that doesn't include all the overheads etc.

 

[SDK^]

What are you on about.

Are you not saying fuel stations profit should be lower than 4%/ 2% on fuel sales because you think it's too high?

 

[Doobedoo]

Are you not saying fuel stations profit should be lower than 4%/ 2% on fuel sales because you think it's too high?

Relatively to the manufacturers and government- no they make very little. Why profiteer from diesel over petrol? Reverse it.

I’m going to start calling you Cathy Newman pretty soon

 

[Kenai]

I would imagine it's not a deliberate strategy to specifically make 8p on diesel but only 4p on petrol - more a product of local pricing competition, demand and fluctuating wholesale costs.

 

[mjt]

Sorry if this has been explained somewhere earlier in the thread, but can someone please explain why prices are so ******* high?
It can't just be due to the price of oil?

 

[MagicBoy]

Sorry if this has been explained somewhere earlier in the thread, but can someone please explain why prices are so ******* high?
It can't just be due to the price of oil?

In a word - refineries.

 

[Doobedoo]

Sorry if this has been explained somewhere earlier in the thread, but can someone please explain why prices are so ******* high?
It can't just be due to the price of oil?

Russia basically or Brexit. Ignore record profits that just a coincidence.

Is it true that petrol is more expensive to produce due to it needing more refining than diesel?

 

[mjt]

In a word - refineries.

I read this article on the BBC earlier today that their profits have gone up, but WTF? They just shove their prices up and earn millions more? Based on what?
-edit. read it again. Lack of capacity. So Supply and Demand.
-edit2. read more of it again. Fuel was refined in Russia, so now there's clearly a lack of capacity. Gotcha

Russia basically or Brexit. Ignore record profits that just a coincidence.

Is it true that petrol is more expensive to produce due to it needing more refining than diesel?

Sure, but prices have gone up everywhere, not just UK.
-edit: see edit2

 

[Doobedoo]

Sure, but prices have gone up everywhere, not just UK.

I was joking. When I was in Crete petrol was more expensive than diesel, in this country diesel was about 15 p more expensive than petrol at the same time.

Capacity would make sense if it was actually hard to get hold of fuel, it’s not we have plenty they just want to make more money.