petrol prices
- Thread starter steveo
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![[TW]Fox](/data/man-of-honor/2009.png){kind=avatar}
A useful breakdown:
Of a 108.1p litre of unleaded, the ex-vat price is 92p. Duty is 50p, so the price of the actual product is 42p. Even at $120 a barrel, approximately 30p of this is oil.
So, taxation accounts for 66.1p of a litre of fuel at 108.1p.
This also allows us to estimate future fuel prices if oil were to hit say $240 a barrel - 138p a litre.
Personally I don't have an awful lot of problem with the concept of duty but I find the idea of paying VAT on this duty irritating.
Soldato
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[TW]Fox;11644686 said:
I have the same problem stomaching this arrangement when I've imported cars.
Import tax, then VAT on top of it just annoys me TBH.
thanks for that, just checked my area...
The Highest price in this area: 114.9p
The Average price in this area: 109.7p
The Lowest price in this area: 106.9p
My car drinks a hell of a lot
thanks for that, just checked my area...
The Highest price in this area: 114.9p
The Average price in this area: 109.7p
The Lowest price in this area: 106.9p
My car drinks a hell of a lot
You live in a reasonably priced area!
Hmm.. Diesel here is something like 118.
At the moment it's cheaper to fill up from empty and haul the additional fuel around as the fuel inflation rate is so high!
thanks for that, just checked my area...
The Highest price in this area: 114.9p
The Average price in this area: 109.7p
The Lowest price in this area: 106.9p
My car drinks a hell of a lot
I hope you're using super unleaded in it!
The Total on the A44 is 122.9 for diesel I think! I'll check on my way out in a few minutes
Soldato
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- 18 Oct 2002
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Isn't the Euro quite strong at the moment and Sterling weak?
Thing that annoys me most is paying the fuel duty and then paying the VAT on top of that at the till.
Thing that annoys me most is paying the fuel duty and then paying the VAT on top of that at the till.
Ouch! I am off to Blackburn today, then Manchester, then back to Oxford. I am gonna be streaming tears at the petrol pumps over the next 48 hours!
Luckily work are paying towards fuel
Its just circumstance. If the government decided to put the duty up so that petrol cost £5 a litre then a 20p price rise is going to make very little difference. Does that make it a good thing just because it shields us from price rises ??
I hope it's crystal clear to everyone that prices will only continue to increase.
1) Demand is growing in China and other places, the growing middle class is providing many people an income level enabling them to afford cars;
2) Demand is growing in oil-producing countries, high oil prices make oil producers richer driving massive internal growth in car ownership;
3) Many countries, especially those oil-producing countries further encourage internal oil demand via price controls or subsidies so their consumers are not subject to market prices;
4) Globally supply growth, is no longer happening to a significant degree. Production has been approximately flat for the past 3 years and there are increasing doubts that it can increase in the coming years. Whether this is because of peak oil, because of lack of investment, or because of political games by oil-rich countries is essentially irrelevant: the fact is that supply is not responding to increasing prices.
What this means is that we should all take increasing fuel prices into account when making personal decisions about what to drive, where to live, where to work etc. It's not rocket science and there is no excuse for anyone to be surprised by £1.20 a litre or £1.50 next year.
1) Demand is growing in China and other places, the growing middle class is providing many people an income level enabling them to afford cars;
2) Demand is growing in oil-producing countries, high oil prices make oil producers richer driving massive internal growth in car ownership;
3) Many countries, especially those oil-producing countries further encourage internal oil demand via price controls or subsidies so their consumers are not subject to market prices;
4) Globally supply growth, is no longer happening to a significant degree. Production has been approximately flat for the past 3 years and there are increasing doubts that it can increase in the coming years. Whether this is because of peak oil, because of lack of investment, or because of political games by oil-rich countries is essentially irrelevant: the fact is that supply is not responding to increasing prices.
What this means is that we should all take increasing fuel prices into account when making personal decisions about what to drive, where to live, where to work etc. It's not rocket science and there is no excuse for anyone to be surprised by £1.20 a litre or £1.50 next year.
clv - what is your view of the price information provided by looking at 'dollar neutral' oil? I found a really interesting graph the other day which I will attempt to dig out which showed that, in terms of gold (ie the gold required to purchase a barrel of oil) oil has risen 7% in 5 years and is down from a peak price in 2005. My opinion is that these figures are useful in that they show us the true supply/demand based price of oil and strip out variables like commodoties hedging and currency fluctuation.
I don't think it's right say that that the gold denominated oil price is somehow a truer price, last time I checked I wasn't paid in gold (but I do invest in gold). What it shows us is that oil is not the only commodity increasing in price, many are, in real terms. The supply/demand balance for both oil and gold has shifted dramatically in recent years, these are now supply side determined markets in that increased demand (price) is not being met with increased supply as we would traditionally expect.