Huge queues form outside UKs cheapest forecourts with fuel sold for up to 25p less than national average: Lines of cars wait outside retail outlet in Devon and motorists fill up at a Manchester service station where petrol is 169.9p-a-litre
- Hassan Mohammed has slashed the price of petrol and diesel at his filling station in Walkden, Waverley
- A second filling station in Newton Abbot, Devon has also slashed the price of its petrol and diesel
- Motorists at both locations were stuck in long queues before they could access the forecourts
Motorists in Devon and Manchester have been queueing around the block after two service stations slashed the price of their fuel by more than 20p a litre.
The filling stations in Newtown Abbot and Walkden, Greater Manchester have massively undercut their competitors, saving the average motorist £10 a tank.
Petrol in Newton Abbot is among the cheapest with the UK with it costing 164.9p a litre – compared to the national average of 190.65p. Diesel is selling for 179.9p – compared to a national average of 198.42p.
Bosses at the Limes Service Station in Walkden announced earlier today that they were slashing petrol prices to help people out during the cost of living crisis. The station is currently offering 169.9p for unleaded and 185.9p for diesel – much less than the national average.
Following the announcement, drivers could be seen queuing up outside the petrol station as they wait to get to a pump.
Co-director Hassan Mohammed said he has been overwhelmed with the response.
‘The reaction has been fantastic. All of the customers have been really appreciative. It’s been non-stop all day, the pumps have been busy all day long.
‘Some people couldn’t believe what we were doing until they came down and saw it for themselves. We’ve had a lot of people telling us how they’re glad it’s not a one-day gimmick and have said they’ll be back again.’
Motorists queued along the road today to gain access to the Limes Service Station, pictured, in Walkden, Waverley
Co-director Hassan Mohammed said he wanted to give something back to the local community
The filling station is being inundated with customers 69.9p for unleaded and 185.9p for diesel – much less than the national average of 191.2p for petrol and 199.1p for diesel
Motorists at the filling station saved themselves around 20p per litre which works out around £10 a tank in an average family car
Motorists at the service station earlier today welcomed the price reduction which can save them more than £10 a tank
Mr Mohammed said: ‘People’s disposable incomes are being affected in a major way and we know that petrol is one of the biggest costs for people. We thought we’d like to do something for our community in Walkden. We’ve been here for seven years now and we’ve always tried to support our community’
In Trago Mills, Newton Abbot, Devon, long lines of cars were spotted earlier today after the filling station slashed its prices
The Devon service station also faced large queues as motorists discovered the massive cost savings
Mr Mohammed said: ‘We’ve been rushed off our feet, it’s been very busy but everyone has been so positive about it,’ he added. ‘I’m fairly certain we’re going to be busy all week long now that more people have heard about what we’re doing’
Mr Mohammed said there have been ‘hundreds’ of people visiting the petrol station so far today and he expects demand to continue.
‘We’ve been rushed off our feet, it’s been very busy but everyone has been so positive about it,’ he added. ‘I’m fairly certain we’re going to be busy all week long now that more people have heard about what we’re doing.’
Earlier today, Mr Mohammed said he hopes to keep prices as low as possible for at least a week and will continue if he can. He said: ‘My aim is to sustain these prices for at least the next week and then, if the pricing allows us, we will try and keep it going for as long as we can.’
Mr Mohammed said he chose to drop fuel prices so significantly because he wanted to give back to the Walkden community at a time when costs for essentials have been rising. He said he has been able to do it by putting savings back into the business.
He previously said: ‘People’s disposable incomes are being affected in a major way and we know that petrol is one of the biggest costs for people. We thought we’d like to do something for our community in Walkden. We’ve been here for seven years now and we’ve always tried to support our community.’
The national average of of a litre of petrol is 190.65p or diesel at 198.42 while motorists in Manchester pay 169.9p for unleaded and 185.9p for diesel – much less than the national average of 191.2p for petrol and 199.1p for diesel
The Limes Service Station on Manchester Road is open everyday from 6am to 10pm.
In Devon, lines of cars have been queuing up outside a discount retail park in Newtown Abbot.
Unleaded petrol is currently on sale for 164.9p a litre – compared to the national average of 190.65p.
It has the cheapest fuel in the UK, according to the RAC fuel watch – and was so busy today an attendant was in place to guide cars in and out.
Diesel is selling for 179.9p – compared to a national average of 198.42p.
Their price for unleaded petrol has still seen an increase – having been 153.9 in April 2022 – but is now the cheapest in the UK.
The RAC said: ‘We monitor both wholesale and retail fuel prices daily, including those at the UK’s supermarkets and urge retailers to pass on cost savings to motorists when they can be made.’
The RAC believe this petrol station is offering the cheapest fuel in the country, though travelling a long distance to fill up will not make financial sense
The price of fuel in the UK has been investigated by the Competition and Markets authority. Over the past 12 months petrol has increased by 60p per litre and 64p per litre for diesel.
CMA general counsel Sarah Cardell said: ‘The recent rises in pump prices are a major worry for millions of drivers.
‘While there is no escaping the global pressures pushing up fuel prices, the growing gap between the oil price and the wholesale price of petrol and diesel is a cause for concern.
‘We now need to get to the bottom of whether there are legitimate reasons for this and, if not, what action can be taken to address it.
‘On the whole the retail market does seem to be competitive, but there are some areas that warrant further investigation.’
She said the watchdog will ‘use our formal legal powers’ to investigate pump prices, and ‘won’t hesitate to take action’ if it finds evidence of ‘collusion or similar wrongdoing’.
A spokesman for UKPIA, a trade association representing the fuel sector, including refineries, said the review was ‘undertaken at speed’ and pledged to continue to ‘work constructively’ with the CMA and the Government ‘to fully understand the issues which have been identified’.
He went on: ‘As the findings of the review show, the UK typically benefits from a competitive domestic supply chain and prices tend to be most affected by changes in crude oil prices and other supply and demand factors, which have been particularly volatile in 2022.
‘Tax is also a significant cost, which accounts for a large proportion of the pump price.
‘We would note that, when fuel duty and tax is excluded, UK petrol and diesel prices have been consistently among the lowest in western Europe.’
RAC fuel spokesman Simon Williams said: ‘We are particularly pleased to see that the CMA acknowledges the gap between wholesale and retail prices has been widening in recent weeks.
‘Regardless of the reasons for wholesale prices being what they are, we continue to believe there is clear evidence, not least in the last week, that major retailers are incredibly slow to pass on falling wholesale costs, yet quick to pass on rising ones.
‘The idea of allowing drivers to more easily compare pump prices near them may also prove beneficial.
‘The question drivers may have, however, is how long the review will take and, crucially, when they might see a change to what they pay every time they fill up.’
Jack Cousens, the AA’s head of roads policy, said pump price competition is ‘broken’ as supermarket fuel retailers are no longer sparking widespread price cuts by being the first retailers to pass on wholesale cost reductions.
That trigger appears to have gone, and now there is a need to find another way to re-invigorate pump-price competition, he said.
‘The AA therefore welcomes the CMA’s suggestion of more pump price transparency immediately.’
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