OFT to look again at Argyll and Bute fuel prices

The OFT report found that the UK petrol and diesel market was working well - much to the disappointment of fuel retailers and motoring lobby groups.
The OFT report found that the UK petrol and diesel market was working well - much to the disappointment of fuel retailers and motoring lobby groups.

The Office of Fair Trading has agreed to take another look at the reasons for high fuel prices in Argyll and Bute - amid widespread criticism of its study of the UK petrol and diesel market.

The report, published on Wednesday, found that little action was needed and the market in the UK was working well - a conclusion which angered retailers and motoring lobby groups.

Following the publication of the report, Argyll and Bute’s Westminster MP Alan Reid called for further investigation into the high fuel prices in the constituency at a meeting with OFT representatives.

“The OFT investigation discovered the obvious – competition brings down prices,” Mr Reid said.

“I told the OFT that this means the opposite must also be true, that where competition is lacking, prices are higher. They agreed to look again at why prices are so high in parts of Argyll and Bute where there is a lack of competition and report back to me.

“Tomorrow I will be attending the Scotland Office fuel summit in Glasgow. The Scotland Office arranged this summit after I questioned Scotland Office minister David Mundell MP on concerns that the island 5p fuel duty discount was not being passed on to the motorist at the pumps.

“This summit will give me the opportunity to question fuel distributors and retailers, the Treasury and the OFT as to why fuel prices are so high and what can be done to bring them down.”