Motorists being ripped off at pumps, CMA data shows
CMA analysis finds forecourt profit margins far above historic levels, with supermarket margins at 8%–9.1% and other retailers at 9.9%–10.6% in the June quarter; petrol prices rose in the latest period.
Motorists are being ripped off at the pumps as fuel retailers' profit margins run well above historic norms, a Competition and Markets Authority analysis shows. In the quarter to June, margins at supermarket forecourts ranged from 8% to 9.1%, while margins at other retailers were higher, between 9.9% and 10.6%. The CMA said such margins are a key indicator of retailer profitability and noted they remain well above historical levels.
The CMA's figures also show the price of a litre of petrol rose 1.9 pence to 133.9 pence in the three months to Aug. 31. The data come as the sector faces ongoing scrutiny from regulators and consumer groups over pricing practices at the pump.
Dan Turnbull, CMA senior director of markets, said: "What's deeply concerning is that fuel margins – a key indicator of retailer profit – remain far above historic levels." Luke Bosdet, the AA's spokesperson for fuel prices, added: "UK consumers will be incensed by confirmation of what they suspected – that they continue to be ripped off."
By comparison, margins around 4% were common in 2017, underscoring how elevated fuel profitability has persisted across multiple price cycles, according to the CMA's historical benchmarks. The findings deepen concerns among policymakers and consumer groups about how pump pricing is set and how any wholesale-cost changes are passed through to motorists.
The CMA said it would continue monitoring the sector and publishing quarterly analyses to track whether margins ease as crude prices and wholesale costs move, or whether retailer pricing power keeps margins elevated.
