Fuel Prices

Nadine Dorries Excerpts

Thursday 13th September 2012 Commons Chamber

[Robert Halfon]

My hon. Friend is right, and I hope that he will agree with what I shall say later.

I believe that we need to cut taxes on fuel, but given that the oil market makes up nearly half the pump price, oil companies must bear their share of the responsibility. If Members do not believe me, they should listen to what was said by the former head of Tesco, Sir Terry Leahy:

“Filling up the family car has gone up 70% in two years, causing what was a steady recovery to go sideways.”

Yes, the eurozone is a problem, and so is the overhang of debt, but it is expensive energy that is really hurting people on low incomes and crushing our economic recovery.

Secondly, turning to the oil companies, data from the Department of Energy and Climate Change quarterly energy prices release show that there is now a three-week delay between a fall in oil prices and a drop in petrol prices at the pump. However, even accounting for that, a dossier from the website I founded, petrolpromise.com, proves that cheaper oil was not passed on to UK motorists for most of the last two years. That is true of April, July, September, October, November and December 2011, and March, April, and May 2012. That is nine out of the last 18 months.

[Nadine Dorries (Mid Bedfordshire)]

rose—

[Claire Perry (Devizes)]

rose—

[Robert Halfon]

I shall give way to both my hon. Friends in a moment.

In July 2011, oil prices fell by 5%, but petrol prices were unchanged. Then, in March this year, oil prices fell again by 5%, but petrol prices rose by 10%. Why? I shall now give way to my hon. Friend the Member for Mid Bedfordshire (Nadine Dorries).

[Nadine Dorries]

rose—

[Hon. Members]

Answer the question!

[Nadine Dorries]

I shall allow my hon. Friend to answer that, as he is doing so well so far. In my constituency, there are students who cannot take their places at Bedford college, in part because their families used to be two-car families so there was a second car to transport them around, whereas now lots of families are going down to having just one car, because the cost of petrol has increased so much. That is having a huge negative impact on families.

[Robert Halfon]

My hon. Friend is right, and I shall make the point in my concluding remarks that this issue is not just about economics. Although the economics of it is important, I have sought a debate on this subject because I believe it is about social justice, too, as high petrol prices are hurting the poorest far more than the rich.