As fuel hits new high, companies deny profiteering claims

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Car Rental News - 13/12/2010

 

A litre of petrol has risen to a new high of £1.22 and oil giants are accused of profiteering.

The price of a litre of petrol has risen to a record high of £1.22 per litre, leading to claims by critics that oil companies and retailers are engaged in profiteering. Oil companies had refuted the allegations and are blaming soaring prices for oil and wholesale fuel.

As a result of the latest price increase, a gallon of petrol now weighs in at a painful £5.53. To fill up the average family car now costs more than £60 and prices are set to rise yet higher, as a new VAT rate kicks in next year. VAT is to rise by 2.5 per cent from January, to 20 per cent.

The AA has accused fuel retailers and oil companies of generating excessive profits. The announced the new average price for a litre of petrol at 121.76 pence. At the start of the year, a litre of petrol cost an average of 109.88 pence.

Since then the average price has increased by 11.88 pence per litre. As a result, it now costs an average of £5.94 more to fill up a car in the UK than it did last year.

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