'We're being hammered by petrol price rises'

A petrol station owner said he was being "absolutely hammered" by the rising cost of fuel and accused the government of profiting from the US-Israel war with Iran.

Tom Highland, of Highland Group, said most of his stations across Bedfordshire, Cambridgeshire, Hertfordshire and Suffolk were running at a loss and that some staff had been abused by unhappy customers.

The price of oil has soared since the Strait of Hormuz - through which 20% of the world's oil trade passes through - was effectively blocked.

The government insisted it was not benefiting from the crisis.

Prime Minister Sir Keir Starmer previously said the government would "step in" if fuel companies tried to "rip off customers".

Energy Secretary Ed Miliband also said he would "not tolerate unfair practices" and price gouging".

But Highland told the BBC the company had no choice but to pass some of the cost increase on to customers.

"For March, the company might just pay its bills, but I probably won't make any money, and I can only stomach working for free for so long," he said.

"[Some] sites have been absolutely hammered and what makes it even worse is when you see the government accusing us of profiteering from this crisis.

"I'm making just under 6p per litre, which is three less than I actually need to cover my costs, so if anyone's profiteering, it's the government."

According to the RAC, the average cost of petrol is at a 28-month high of £1.52 a litre.

"Customers are coming in and shouting at staff because the price of something they don't control is going up," added Highland.

"But it's definitely not their fault – they just work on the tills."

The Petrol Retailers Association has also said any suggestions of forecourts taking advantage of the war are incorrect.

Steve Highland, also from the group, dispelled any suggestion petrol stations were storing up fuel ready for when prices increased even more.

"Our sites are busy, so it just doesn't work like that, we want to try and keep the price down as much as we can," he said.

"I have been doing this for 40 years. This is the worst [petrol crisis] - I have never known anything like it."

According to the RAC, the cost of diesel has increased to 181.2p litre, a price not seen since December 2022.

It costs £10.55 more to fill up a typical family car that runs on petrol, and £21.35 more for a comparative diesel car, a spokesperson added.

Cambridge scaffolder Liam O'Brien said he was really starting to notice the difference.

"Over three or four vans, it works out about an extra full tank's worth a week, so it is unacceptable," he said.

"It's an extra £400 a month if we're filling up one tank a week. Everyone's trying to have a slice of the pie."

Speaking at a petrol station in Caldecote, south Cambridgeshire, farming worker John Mitchell said he was worried about a rise in fuel thieves.

"I filled up 80.5 gallons (305 litres) and it was £576, that's a lot of money and it's not right," he told the BBC.

"Everyone's profiteering off this war business."

Haverhill-based driving instructor Gerry Harrington added: "The last time I felt like this there was a coronavirus, but now there is a car-owner-virus - it's ridiculous.

"Everyone thinks we make a fortune, but our costs are ridiculous and you then start thinking of unfortunately passing it on to customers."

According to the government, the supply of oil to the UK remains healthy in spite of the conflict and stressed that panic buying was not necessary.

Meanwhile, HM Treasury said it would not benefit from a VAT windfall because people typically cut back on spending when fuel and energy prices rose.

"High inflation also harms the economy, living standards and has a wide range of impacts on the public finances, as we saw in 2022 following Russia's invasion of Ukraine,” a spokesperson said.

“The priority is de-escalation and supporting families, including £150 off energy bills and extending the 5p fuel duty cut."

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