Competition watchdog called for urgent fuel market review due to ‘predatory pricing’

Business Secretary Kwasi Kwarteng has written to the Competition and Markets Authority, which will investigate the industry over concerns drivers are not getting a fair deal

Competition watchdogs have been called upon to carry out an urgent review of the fuel market due to ministers’ concerns over “predatory pricing”.

Business Secretary Kwasi Kwarteng has written to the Competition and Markets Authority (CMA), which will investigate the industry over concerns drivers are not getting a fair deal.

The watchdog has been instructed to look specifically at the health of competition in the market – and whether Rishi Sunak’s £5billion fuel tax cut is being passed on to consumers.

They will also investigate the reasons for local price variations.

Price variations at petrol stations in different parts of the country also remain a concern for many motorists, with often wild fluctuations between similar stations nearby over only short distances.







Commercial Secretary Kwasi Kwarteng
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Getty Images)


In his letter to CMA chief executive Andrea Coscelli, Mr Kwarteng wrote: “The British people are rightly frustrated that the £5billion package does not always seem to have been passed on to prices of the forecourt and that in some towns, prices remain higher than in smaller ones. , neighboring towns.

An initial report should be received by July 7.

A Whitehall source added: “We try to keep people’s hard-earned money in their back pockets as much as possible, but it’s frustrating that our £5billion fuel tax cut doesn’t seem to have echoed everywhere – with prices still fast to rise but slow to fall.

‘No one understands why their fuel can be so expensive at 10p a liter on a village forecourt, so we want drivers to be completely certain that fuel retailers are not profiting at their expense.’

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