The big petrol pump rip-off!

Robert Powell gets your take on whether fuel is just one big rip-off...

Getting from A to B has become an increasingly pricey practice recently, not least because of the spiralling cost of fuel in this country.

Politicians have learnt that not keeping a leash on fuel prices can quickly ignite protests and bring parts of the country to a standstill – losing thousands of votes in the process.

Are fuel prices a rip-off?

Although George Osborne reduced fuel duty by 1p per litre in the last Budget, most of the people I’ve spoken to today were sceptical as to whether the cut had really materialised at the pump.

There has been some respite for motorists this month as Morrisons, Asda and Tesco all reduced fuel prices by 1p for petrol and 3-4p for diesel.

But despite these reductions the price of fuel is still currently more expensive than it was even before the Budget tax cut with unleaded averaging at just under 136p per litre and diesel at 142p per litre.

And as anyone that’s driven in the States knows, these extortionate prices become all the more frustrating when you compare them to the low cost of fuel abroad.

Is it fair that we have some of the highest fuel prices in the world?

According to the AA’s April fuel price report, UK petrol prices are around 5p per litre higher than the current European average.

The difference is far larger when you look at fuel prices in the States where unleaded averages at under 62p per litre and diesel at just over 66p per litre – less than half the price we pay.

How do you get round high fuel prices?

There are several practical ways you can cut your fuel bill by simply reducing your speed, avoiding over-revving and harsh acceleration, keeping your tyres at the correct pressure and removing unnecessary items from your car.

But there a few other less-obvious ways you can save money on your motoring that you may not have thought of.

Always make sure you pay for your fuel in a cost-effective way. Avoid credit cards that charge interest and if you have to pay on credit try and use a 0% purchase credit card or a cashback card if you pay off the bill in full each month.

It’s also worth using websites like petrolprices.com to hunt down the cheapest fuel prices in your area.

Another option for getting round high fuel prices that a few people I spoke to today suggested was to ditch the car altogether and use public transport.

But unfortunately – as anyone who has recently booked a long distance train journey will know – this isn’t exactly a cheap option either.

Is public transport a rip-off?

Figures from the Association of Train Operating Companies show that railway use grew by almost 5% in the first 3 months of 2011. The Association attributes this rise to current high motoring costs.

But these new train-users aren’t being met by cheap prices. According to the Campaign for Better Transport, rail fares are set to rise by 31% above 2010 prices by the next general election and at four times the speed of wage increases next year.

The only way to really get round pricey public transport is to make sure you book all tickets in advance, travel off-peak when you can, use any possible railcard discounts and get hold of a season ticket if you make a journey several times a week.

But with the high price of fuel and general rising costs eating into the profits of transport companies as well as pushing up costs at the pump – getting from A to B is almost certainly set to get pricier before it gets cheaper.

What do you think?

Are fuel prices a rip-off? Is public transport in the UK good value for money?

Let us know your thoughts in the comment box below.

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