Can you remember when fuel was 89p a litre?
High fuel prices are crippling my business - considering that due to the current economic climate I have kept my daily labour rate the same as it was when a litre of fuel was 89p.
The cost of petrol now averages 140.20p a litre, with diesel at 146.72p a litre. And in August, another rise will add 3.62p a litre, meaning the typical 50-litre petrol refill will cost £1.81 more, the AA calculates.
However, petrol hasn’t always been this pricey. Five years ago it was just 89p for a litre of unleaded – and even in May 2009 the price was below £1 a litre, according to comparison site PetrolPrices.com.
It now cost drivers more than £68 to fill up a 50-litre tank – £3.45 more than it cost a year ago £12.30 more than in 2010. Meanwhile, larger cars and vans cost up to £100 a tank, says the AA.
What makes up the price of petrol?
According to Whatprice.co.uk, the forecourt price makes up just 5% of the total cost of petrol, while the cost of oil amounts to a further 32% - but of course it’s taxation that eats up the largest chunk, at a hefty 63% of the price you pay to fill up your car.
At 139.67p a litre, the cost of a litre of petrol breaks down into: 57.95p fuel duty, 23.28p VAT, 52p wholesale, 1.5p biofuel content – with just 4.94p the retailer’s margin and transport costs.
The government’s main argument for dropping the 50p tax rate is that the decrease will mean a bigger take in cash terms for the treasury.
If that is indeed the case, then surely the same should apply with a cut in the duty on fuel with road users filling up more frequently resulting in a bigger take for the treasury. IMHO such action may also provide the stimulation the economy needs and as a consequence kick-start growth.
Re: Can you remember when fuel was 89p a litre?
Ken, I can remember a time when it didn't even cost that much for a gallon!!!!! Ok I admit it was a very long time ago, but I remember my dad saying he would sell the car if petrol ever reached £2 a gallon.
Re: Can you remember when fuel was 89p a litre?
I couldn't believe they went ahead sith the extra 3p of fuel taxes, considering how much the price has gone up by and how much extra VAT they must be getting.
But of course all us road users are only doing it to be annoying and must be priced off the roads, we're not trying to just get to work or anything ::)
Re: Can you remember when fuel was 89p a litre?
Yeah, we're all pissed off with the price of fuel, I can remember when a gallon of premix for my Fizzy cost a quid and all that... If they don't take it on fuel they'll bleed you for it another way; on food, drink, VAT, clothes, anything that little rich boy Osbourne could think of that affects fellow toffs as little as possible.
Is it that big a deal though when you look at it objectively (I'm talking about riding for pleasure here, not needing to drive for your business) an extra 3p/litre will add about 45p to the cost of the average fill-up. Can you not afford that? A few months ago I saw some dumb feature about fuel prices on local news, they interviewed a woman from Southampton who said that they couldn't afford their driving holiday to North Wales because of the fuel price rises. What a load of bollocks, that's be a round trip of what, 700 miles? Maybe 80 litres of fuel... Even if it had gone up by 10p/litre that's only another 8 quid. If your holiday finances are that finely balanced sweetheart you have far more to worry about than fuel prices... Typical local news story, load of noise about nothing ::)
Re: Can you remember when fuel was 89p a litre?
Quote:
Originally Posted by Scotty
A few months ago I saw some dumb feature about fuel prices on local news, they interviewed a woman from Southampton who said that they couldn't afford their driving holiday to North Wales because of the fuel price rises. What a load of bollocks, that's be a round trip of what, 700 miles? Maybe 80 litres of fuel... Even if it had gone up by 10p/litre that's only another 8 quid. If your holiday finances are that finely balanced sweetheart you have far more to worry about than fuel prices... Typical local news story, load of noise about nothing ::)
Maybe their family car was a Jensen Interceptor?
Re: Can you remember when fuel was 89p a litre?
Quote:
Originally Posted by dan_geoghegan
[quote author=Scotty link=1332781740/3#3 date=1332788278]A few months ago I saw some dumb feature about fuel prices on local news, they interviewed a woman from Southampton who said that they couldn't afford their driving holiday to North Wales because of the fuel price rises. What a load of bollocks, that's be a round trip of what, 700 miles? Maybe 80 litres of fuel... Even if it had gone up by 10p/litre that's only another 8 quid. If your holiday finances are that finely balanced sweetheart you have far more to worry about than fuel prices... Typical local news story, load of noise about nothing ::)
Maybe their family car was a Jensen Interceptor?[/quote]
My sort of family... :)
Re: Can you remember when fuel was 89p a litre?
I can remember Lesters selling 5* and I think it was 25p a gallon, although it could have been 2/5d :)
In 1981 when I had my first 250 it was £1.60 a gallon :) Trouble is back then I used to earn £23.50 a week :-/
Re: Can you remember when fuel was 89p a litre?
Don't get me started on fuel prices.
Look at how many of the cabinet are millionaires - you will be shocked by the answer!
How can a millionaire possibly realise how the crippling prices we are paying for all fuels are affecting the majority of people in this country. ( For them its like dropping the contents of a coke bottle in the English Channel ).
Re: Can you remember when fuel was 89p a litre?
Quote:
Originally Posted by monday21
High fuel prices are crippling my business - considering that due to the current economic climate I have kept my daily labour rate the same as it was when a litre of fuel was 89p.
Switch to diesel, and run it on Bio diesel? Or if it's petrol, invest in an LPG conversion? Both methods will save you considerably. My neighbours just bought and LPG converted car, and his fuel economy has almost trebled!
Re: Can you remember when fuel was 89p a litre?
nothing we can do about it other than use less of it. As Scotty says, is an extra 45p a tank going to discourage us all from riding for pleasure next time it's a sunny weekend? I doubt it, with over 60 bikes on March's ride-out.
Don't get me wrong - I run a business with a fleet of vehicles so I'm being affected by this personally and professionally, but until people stop burning fuel for pleasure I can't really accept that it's a life-changing rise in price.