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PRESS RELEASES

  • 2017
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PRA welcomes chancellor's announcement of new charging investment infrastructure fund

23/11/2017

“We welcome the Chancellors announcement of a new £400 million Charging Investment Infrastructure Fund which is good news for fuel retailers and motorway service areas (MSAs)  - provided they are included in the list of eligible businesses”, comments Brian Madderson, Chairman of the Petrol Retailers Association (PRA).
 
This follows a hearing earlier this month at the Automated and Electric Vehicles Bill Committee where the PRA was invited to give oral evidence, and called for a government grant for fuel retailers seeking to install electric vehicle charging equipment and for the mandating to be withdrawn. 
 
Madderson continues, “This Bill proposes giving Government to power to mandate the installation of electric vehicle charge points in large fuel retailers and MSAs, but provides no financial assistance to such businesses. 
 
“Today’s Budget has not yet indicated how the fund will be specifically allocated, but indicates the Government is prepared to assist retailers in increasing the uptake of rapid EV charge points.
 
“The PRA will continue to lobby the Government to encourage fuel retailers to install EV charge points with financial assistance. It is essential that a substantial portion of the Charging Investment Infrastructure Fund is ring-fenced for fuel retailers, in order to make this equipment affordable.
 
“If the Government insists on mandating EV charging equipment upon retailers and MSAs, they must be prepared share some of the financial burden.”
 
 
 
ENDS
 
NOTES TO EDITORS: Brian Madderson is available for interview.
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle

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Chancellor planning tax grab against diesel drivers

21/11/2017

“The Petrol Retailers Association (PRA) has been informed by a well-placed parliamentary source, that the Chancellor is likely to announce a 1ppl increase to fuel duty for all diesel drivers in this week’s Autumn Budget. This would be a thinly disguised tax grab using air quality issues as justification,” comments Brian Madderson, PRA Chairman.
 
Despite the Chancellor also planning a welcome 1ppl reduction to the duty on petrol, the move on diesel would benefit the Treasury by over £800M per year. With 80% greater annual volumes, diesel is the fuel powering the nation’s road haulage industry and the wider economy.
 
Madderson continued, “Along with other trade associations, we have repeatedly warned the Chancellor against such an economically regressive move because it will push up prices for consumer and businesses already suffering with inflation at a five year high.
 
“To force this increase at a time when crude oil and worldwide wholesale costs are ramping up, is also at odds with the Government’s avowed aim of supporting the UK economy in the lead up to our formal exit from the EU in 2019. Does the Chancellor really want to hammer already hard-pressed consumers, damage the economy, and make us less competitive with our European neighbours?
 
The PRA urges the Chancellor to scrap these damaging duty differential plans, and instead boost our economy by introducing a major cut in fuel duty in April 2018.
 
 
ENDS
 
NOTES TO EDITORS: 
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

 

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PRA calls for cut in fuel duty ahead of budget

15/11/2017

“The Petrol Retailers Association (PRA) strongly agrees with the UK’s leading motoring and freight organisations, that the Chancellor’s first aim should be to support the economy in this crucial period ahead of our formal exit from the EU by cutting fuel duty - this is already amongst the highest in Europe, especially for diesel.”, commented Brian Madderson, PRA Chairman.
 
It is clear from the Government’s own data that the irreversible trend decline in diesel volumes has already commenced with only 0.8% growth in the first half of 2017 compared to the same period in 2016 which was 4.2%. This is mirrored by the slump in both new and second hand diesel car sales.
 
Madderson continued, “No further Government intervention by way of a duty increase on diesel is warranted at this time. Any narrow political gains the Chancellor may reap by further penalising already hard-pressed diesel drivers in a desperate attempt to ‘go green’ will come at the expense of lost growth, fewer jobs and lower living standards.”
 
ENDS
 
NOTES TO EDITORS: Brian Madderson is available for interview. 
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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PRA urges chancellor to cut fuel duty as petrol prices surge

03/11/2017

The Petrol Retailers Association (PRA) has written to the Chancellor urging him to not just freeze, but cut fuel duty by 5ppl in the Autumn Budget this month.
 
Since the beginning of October, the Platts wholesale cost of petrol has risen rapidly by more than 6ppl. This has resulted from the price of Brent Crude oil recovering to over US$60/barrel, whilst at the same time sterling has weakened against US dollar.
 
Over the same period, average pump prices across the UK have remarkably dropped by 1ppl indicating that there is as much as 7ppl gap that needs to be bridged between now and Christmas. 
 
Brian Madderson, PRA Chairman commented, “Following yesterday’s interest rate increase by the Bank of England, consumers will now be caught with higher living costs which can only mean a reduction in household expenditure. This spells real trouble for the economy going forward.”
 
The PRA points out in the letter that the Treasury has a financial model, launched in 2014, that concludes fuel duty cuts ultimately increase tax revenue by stimulating other parts of the economy. At a recent meeting between PRA and senior officials of the Treasury and Revenue & Customs, their model was confirmed as still being valid.
 
“The 5ppl duty cut would be a bold but vitally important concession by the Chancellor if he has any desires to see the UK economy holdfast as we head into 2018, particularly against the backdrop of uncertain Brexit negotiations. This is a must do action” concluded Madderson.
 

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PRA presents evidence to Parliamentary Committee

03/11/2017

To view yesterday's session click here

The Petrol Retailers Association (PRA) was invited to give oral evidence to the Automated and Electric Vehicles Bill Committee yesterday.

The Bill proposes giving Government to power to mandate the installation of electric vehicle charge points in large fuel retailers and motorway service areas (MSAs).
Brian Madderson, Chairman of the PRA comments, “During the session the PRA presented a number of arguments against mandating these charge points. 
 
“Subsidy schemes for home and workplace charging equipment exist, whilst there is no assistance for fuel retailers, yet fuel retailers are being legislated against. Rapid Charging Infrastructure is unaffordable and the return on investment is not sufficient. To increase the uptake, a government grant for retailers needs to be provided.
 
“We feel that mandating the implementation of EV charge points too early would be dangerous to businesses affected. A standardised charging option has yet to emerge and the technology is still in the primitive stages of development”.
 
In addition, the PRA will be providing written evidence to the committee next week.
 
 
ENDS
 
NOTES TO EDITORS: Brian Madderson is available for interview.
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 
 
 

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Wholesale Markets Remain Volatile Despite Cooling Off After Hurricane Harvey

29/09/2017

“Much of the sharp upswing in the UK wholesale cost of petrol, caused by a big surge of global prices in the immediate aftermath of the hurricane, was absorbed by retailers such that average pump prices only rose by just over 2.0pp”, commented Brian Madderson, Chairman of the Petrol Retailers Association (PRA).
 
US refining industry is recovering relatively quickly so it is less reliant on petrol imports from Europe with the welcome outcome that European/UK prices fall.  Conversely though, the US is currently not exporting much diesel to Europe so diesel prices are hardening especially as the winter heating oil market in Europe starts to build.
 
Another factor with petrol is that the specification in Europe/UK shifts from Summer to Winter grade through September in the Platts wholesale price assessments.  
 
Andy Bonnington, an Editorial Director for Platts, suggested to PRA that for refiners, winter grade petrol (with a higher reid vapor pressure) is substantially cheaper to make – so again, petrol prices will fall relative to diesel. 
 
The market and prices for crude oil has been tightening with Brent creeping close to $60/barrel earlier this week but the impact has been lessened by the near 5% strengthening of GBP versus USD since the summer.
 
Madderson continued, “The PRA warns that the outlook for UK pump prices remains uncertain with changes to crude oil prices and exchange rates hard to predict but it does look as though diesel will continue ahead of petrol.  
“Some forecasts suggest the ‘demonisation’ of diesel will inevitably reduce demand in the mid-term but to create an even greater differential by increasing diesel duty further in November's budget would have damaging consequences for the economy, in particular by raising the cost of transporting goods by van and truck*.”
 
ENDS
 
NOTES TO EDITORS: 
 
*Close to 100% OF ALL FOODSTUFFS and 70% of all other goods are moved by road transport
 
Brian Madderson is available for interview.
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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Hurricane Harvey hits home

01/09/2017

Hurricane Harvey hits home

 

Brian Madderson, Chairman of Petrol Retailers Association (PRA) warns that the impact of the record breaking “Hurricane Harvey” devastating the Texan coast around Houston will also be felt by UK motorists as the summer season ends.

 

“The wholesale price of petrol has increased by over 4.20ppl in just the last 5 days, with no major variations to the £/US dollar exchange rate this week and relatively stable prices for Brent Crude, this massive wholesale price hike can only be ascribed to the events in Houston.  Across this coastal region, refineries have closed and oil rigs in the Gulf of Mexico have shut down, but it is still sobering that UK wholesale prices have been affected quite so quickly”, said Brian Madderson, Chairman of The Petrol Retailers Association (PRA).

 

The PRA has been in contact with Platts, independent provider of information and benchmark prices for the commodities and energy markets, and they confirmed that “there have been a large number of oil tankers set to move to the US from Europe carrying gasoline to make up shortfalls in the Gulf region, therefore gasoline cracks have surged to over a two-year high. Diesel has not been so affected as the UK imports over 40%, mainly from Russian sources”.

 

Madderson continued, “Margins have been tight for some time this year so increases of this magnitude will have to be passed on at the pump rather quickly.  Average prices for petrol this week have been 117.3ppl* and one can now see averages above 120.0ppl gripping the market as we move into September.  This will be bad for UK inflation, for cash strapped UK motorists and for the economy as money is diverted from other purchases”.

 

The PRA believes the Chancellor would be unwise to consider fuel duty increases in his Autumn Budget if he really wants the UK economy to avoid any recessionary trends.

 

ENDS  

 

NOTES TO EDITORS:

 

Brian Madderson is available for interview.

 

*figures from Experian Catalist
 

Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
Web: www.rmif.co.uk  
Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

 

 

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INTERVIEW – SKY NEWS TV

31/07/2017

DATE:  Wednesday, 26 July 2017 at 1930hrs

PROGRAMME:   NEWS TIME with Niall Paterson

 

SKY The Government is to ban the sale of petrol and diesel cars by 2040 in an effort to cut pollution.  They’ll be replaced by electric vehicles. 

 

A ban on the sale of petrol and diesel cars and vans could have a huge impact on those industries built on our reliance on fossil fuel driven internal combustion engines.  Just a little earlier I spoke to Brian Madderson, Chairman of the Petrol Retailers Association.  I began by asking him if the Government’s announcement represented the beginning of the end for his industry.

 

CBM Far from it.  The forecourt industry has been very active in the last few years reinventing themselves with most of the independents now having convenience stores on their forecourts which generate terrific income.

 

SKY Mmm, but not being able to sell petrol or diesel is likely to have a knock on effect one imagines.

 

CBM Yes, but these are only proposals and we’re also looking at electric, there’s hybrid engines coming along as a possible Phase 2 and certainly the Government, I gather, would like hydrogen and that can attract fuel duty much more easily than you can with electric.

 

SKY So let’s just be absolutely clear about this.  The Petrol Retailers Association is not challenging the signs, they’re not saying that we do not need to move away from a reliance on fossil fuels?

 

CBM Not at all.  We understand perfectly well that we need cleaner air, a better environment for our children for the future.  This is a step in the right direction but I think the Environment Secretary has produced a very practical first few steps.  First of all, the headline of banning cars by 2040 is only a strategic proposals.  There are lots of technological developments which need to be achieved over the next 22 years for that to be realised.

 

SKY So what do you mean by that?  Do you believe that the Environment Secretary is not sincere when he says he wishes to see the Government bringing an end to the sale of new diesel and petrol cars by that date.

 

CBM No.  I think that he’s perfectly realistic but we just at the present time don’t have any of us absolute confirmation that electric vehicles only, certainly hybrids offer a much better route, but electric vehicles only are not absolutely proven to be the way forward.  Consumers, who are the people who are going to make this happen because they are going to have to pay for it, will have to beg reassured that electric will get them from Point A to B, 300 miles, without having to refuel and in comfort and at a price they can afford.  Currently our members are being charged anything up to £80,000 by power suppliers to put in a sub-station to provide them with the power to have fast charging on their forecourts and that’s more than the entire power for running a large forecourt.

 

SKY Part of the argument has always been about a move from fossil fuel to electric that there is not a finite supply of those fossil fuels – we know that they’re running out.  But neither is there a finite supply of electricity, much of it of course still comes for those fossil fuels.  I mean what’s your assessment of just how ready we are to make that shift?

 

CBM I don’t think we’re ready at all.  I think there are much more developments to come, the whole cost and life of batteries is not yet proven and they rely on some precious metals as well and those precious metals I’m sure will rocket in price once the industry starts moving towards electric and the time length that those precious metals are going to be available, like lithium, are not yet known.  So we could be going in a direction which has a relatively short amount of time and certainly hydrogen has got quite a lot of advantages in terms of it’s readily available and easy to use.

 

SKY And all of this is not to ignore the fact that at the moment the industry is donating a substantial amount of money to the Treasury, it forms the bedrock of the amount of money that our Government spends.

 

CBM Yes at least £20 billion a year comes from the retail sale of petrol and diesel and if that disappears, that’s a huge amount that the Treasury has got to find from other sources and it certainly won’t come from running electric vehicles unless they put the vehicle excise duty up which is going to put some of the electric vehicles out of reach of the poorer families who currently are probably running some of the older diesel vehicles.

 

SKY Still at the same time I think you perhaps alluded to a little earlier that the industry has perhaps had a little bit of a soft landing here,.  This isn’t perhaps as extreme as some would like to have seen from the Environment Secretary, amongst others Sadiq Khan, the Mayor of London, saying this is a half-hearted commitment from Government that simply isn't good enough.  I mean there is a real problem with air pollution in our inner cities at the moment and, as such, did this do anything to deal with that?

 

CBM Yes, I think it does because it has highlighted not just having to have a blanket ban on diesels across the major cities, and we’re talking about 27 cities being identified, what this does is identify 81 hotspots in 17 cities.

 

SKY But this is just passing the buck to local authorities isn’t it?

 

CBM And that’s the local authorities have got some ideas from the Government, they’ve got £255 million from Government to help them overcome these hotspots with challenges like removing bumps in the road, improving the traffic lights,  I think our worry as an industry is much more that cynical local authorities, cash strapped, will see this as a revenue source more quickly than the Treasury would want and certainly DEFRA would want.  So what is the Government going to do to try and police these local authorities so they don’t abuse the avenue that’s been given to them?

 

SKY Yes and we know just how expensive it is to drive a car at the moment anyway.  Brian Madderson, many thanks for being with us.

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PRA EXPRESS CONCERNS OVER UK GOVERNMENT¹S CLEAN AIR INITIATIVES

26/07/2017

The Petrol Retailers Association (PRA) welcomes the pragmatic steps being announced today by Rt Hon Michael Gove MP, newly installed Secretary of State at the Department of Environment, Rural Affairs & Food (DEFRA).
 
The steps do not:
  • impose a blanket ban on diesel vehicles across cities and towns 
  • introduce an unattractive diesel scrappage scheme
  • allow unfair penalties to be imposed on diesel drivers by Local Authorities
  • apply to large vans, HGV’s, motorbikes, tractors and other off-the-road equipment
Brian Madderson, PRA Chairman comments, “We are cautious that the ban on sales of new petrol and diesel cars from 2040 will require massive financial commitment from Government, manufacturers and consumers, without crippling the UK’s economy. 
 
“Currently public transport infrastructure and service is under huge stress, and so a very high proportion of workers commute to their workplace by car. The consumer’s appetite for EV’s and financial capability to switch must be considered limited.
 
“The warning issued by the National Grid earlier this month that there would be insufficient electricity capacity to refuel EV’s if there was a sustained surge in demand, must be taken into account by Government in their strategic planning for energy resilience.
 
“In the longer term, the Treasury stand to lose up to £20bn of fuel duty and vat tax income every year if retail sales of petrol and diesel evaporate. What are their plans for replacing this significant contributor to the national budget? Are EV’s suddenly going to bear the brunt of the shortfall?
 
“The Government also has a responsibility to ensure that the performance criteria promoted by competing EV manufacturers is absolutely fair and correct to protect consumers as they consider switching vehicle types. This particularly refers to speed and mileage claims between recharges.
 
“Finally, the alternative merits of hydrogen fuel cell technology must continue to be properly encouraged.”
 
ENDS
 
NOTES TO EDITORS: Brian Madderson is available for interview.
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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The Daily Mail – Quote from Brian Madderson, PRA Chairman

27/06/2017

Petrol could fall back to 110p: Drivers in line for further savings at the pumps as oil price tumbles

Motorists could be in line for further savings at the petrol pumps as the price of oil continues to tumble.

Fuel prices are at their lowest level since the start of the year – with motorists paying about 5p less per litre of petrol and 6p less on diesel than in February. It reflects the slide in the price of a barrel of Brent crude from $57 in February to $45 last night.

 

Brian Madderson, chair of the Petrol Retailers’ Association, said petrol could fall to between 112p and 110p a litre, down from its current low of 115.12p.  But he cautioned the fall in the pound could slow the rate of change, as oil is traded in dollars.

 

Motorists will now be hoping for a reinvigorated price war between the four big supermarket fuel retailers.

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PRA COMMENT ­ QUEENS SPEECH 2017

21/06/2017

“The PRA has raised concerns directed at the government’s announcement that large retailers and motorway service areas (MSA) will be required to install electric charge points”, said Brian Madderson, Chairman of The Petrol Retailers Association (PRA), following the Queen’s speech today.

 

Madderson continues, “Clarity over the definition of ‘large retailers’ is urgently needed.

 

“The measure forms part of a government push to increase the number of electric vehicles on UK roads. However the PRA is concerned this could place an unreasonable financial burden on independent fuel retailers who feel there is insufficient market demand to justify the investment at this time.

 

“The PRA recommends that the government introduces a centralised, monetary fund allowing for private businesses to apply for grants which will underwrite such speculative investment in rapid charge equipment.”

 

 

 

ENDS

 

NOTES TO EDITORS: Brian Madderson is available for interview.

 

Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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RMI SETS OUT GENERAL ELECTION PRIORITIES

30/05/2017

In the run up to the General Election on June 8, the Retail Motor Industry Federation (RMI), the PRA’s umbrella body, is preparing a manifesto setting out its key priorities for the next Government. 
 
The PRA has obtained a preview of three headline RMI policy to priorities for the new Government, particularly relevant to PRA members. 
  • Clearly outlining a clean air strategy, which does not punish consumers who bought diesel vehicles in good faith.
  • Defending the UK’s economic interests in Europe after Brexit. 
  • Protecting the interests of small businesses, allowing them to survive and thrive. 
On clean air strategy, as the vehicle market shifts sales towards ultra-low emission vehicles (ULEVs), the RMI is calling on the Government to avoid unduly demonising diesel drivers who bought their vehicles in good faith.
It also urges the new Government to invest in infrastructure to enable the expansion of the alternatively fuelled vehicle (AFV) market. 
 
RMI presents two key policy changes to prepare the UK for AFV growth. It is calling for 3p cut to fuel duty to stimulate economic growth and reduce inflation plus investment in providing a network of rapid electric vehicle charge points, plus a central fund to enable petrol filling stations to install their own charging equipment. 
 
Also contained in the manifesto is call to re- examine the valuation of business rates and an increased cap on the HGV Road User Levy.
 
The full RMI manifesto will be available next week via https://members.ukpra.co.uk/ 

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OPEC ANNOUNCES FURTHER PRODUCTION CUTS

30/05/2017

OPEC, the oil exporters' group, decided to extend output restrictions until March at its meeting in Vienna today.

 

The group was discussing whether to extend the oil production reductions agreed last year and due to expire at the end of June, alongside delegates from some oil suppliers outside OPEC.

 

Two key players had already stated that they want to extend the existing limit for nine months, until March next year: OPEC's biggest producer, Saudi Arabia, and Russia, the biggest exporter outside the organisation.

 

At their last meeting at the end of November, OPEC and 11 non-members, including Russia, agreed to cut output by about 1.8 million barrels per day in the first half of 2017. The decision initially pushed oil prices above US$50 per barrel.

 

However, rising fracking production in the US, combined with weak demand in China, have since led to dropping prices.

 

A supermarket price war on petrol has been raging in the UK, with prices of Brent Crude per barrel dropping to a five-month low of less than US$48 a barrel at the start of May. The price of Brent Crude was US$51.23 a barrel as of 30th May.

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UK THREAT LEVEL SEVERE

30/05/2017

The UK threat level is currently SEVERE and members are reminded to take some simple precautions, as filling stations attract security risks: 
 
Brief staff on the increased threat level and ask them to remain vigilant. If you or your staff suspect immediate danger, call 999. 
 
Encourage staff to escalate suspicious activity on or near to your site immediately. Make sure they have contact information to enable them to reach the appropriate people, day or night. 
 
Make sure that staff know what action to take in the event of an incident, to ensure their own safety and the safety of members of the public. 
 
Verify the identity of all contractors and suppliers visiting your site before allowing access to non-public and hazardous areas. 

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UK GOVERNMENT SUPPORTS EXTENSION OF THE RURAL FUEL DUTY REBATE SCHEME

06/03/2017

The Petrol Retailers Association (PRA) raised the issue of the Rural Fuel Duty Rebate Scheme at a meeting with HM Treasury and HMRC last week (28 February 2017).

 

Brian Madderson, PRA Chairman met with Humza Yousaf MSP, Minister for Transport Policy and the Islands, for discussions when visiting the Scottish Government in Edinburgh.

 

He commented, “The Islands Scheme was introduced by Danny Alexander MP on 1 January 2012 when he was Chief Secretary to the Treasury. This scheme was confined to filling stations (PFS) in the Western Isles of Scotland and the Isles of Scilly.

 

“The mainland scheme followed from 1 April 2015, and as well as many additional filling stations on the Scottish mainland, it also included 4 rural PFS in England.   With both schemes, the PFS are all independently owned and represented by PRA.  The retailers are naturally concerned about the Schemes going forward.

 

“HM Treasury and HMRC were able to confirm that each scheme was valid for 6 years – therefore renewal dates of 31 December 2017 and 31 March 2020 would apply.

 

“The UK Government is currently discussing with the EU commission about extending the derogation for the Islands Scheme. Decisions on any extension to the Mainland Scheme may take place after the UK has left the European Union.”

 

ENDS

 

NOTES TO EDITORS:

Rupal Rawal, Press Officer

Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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PETROL RETAILERS CALL FOR 3P CUT IN FUEL DUTY

03/03/2017

The chairman of the Petrol Retailers Association (PRA), Brian Madderson, has revealed that the PRA has asked the Chancellor and his officials to cut fuel duty by 3ppl in next week’s Budget on 8 March.
 
At a meeting with senior officials at the Treasury this week (27 February), representatives of independent forecourt operators across the UK provided detailed arguments for pressing ahead with a fuel duty cut:
 
  • YOY road fuel volumes have increased by over 2.0% providing a tax windfall (duty + vat) of nearly £750M/year which would pay for half the recommended duty cut
  • The average cost of road fuel has risen rapidly over the last 12 months from 104ppl to 122ppl due to increasing global oil prices and the weakening GBP versus the USD
  • This 18ppl differential means that over £6.3B has been taken out of the discretionary spend by consumers and motorists on other goods and services which could ultimately start to reduce economic growth aspirations
  • The extra cost of road fuel is a significant element of the inflation basket and will push levels yet higher which could also impact on economic growth
  • The UK is a “road” based economy with close to 100% of all food being trucked and 80% of all other goods being moved by road.  The increased fuel costs through 2016 will have to be passed on to provide financial sustainability for our essential road haulage industry
  • The outlook as confirmed during the recent International Petroleum Week held last month in London was that global oil is most likely to rise to US$65 to 70/barrel this year. This will force pump prices above 125ppl and onwards towards 130ppl
 
Brian Madderson commented, " We stressed that the Chancellor should not be tempted to demonise diesel, which is the fuel most used by commercial vehicle users.
 
“Creating a greater differential between diesel and unleaded grades could backfire and put the brakes on the economic recovery. 
 
“Putting up diesel duty would be a crude attempt to encourage the take-up of petrol or electric vehicles.”
 
ENDS
 
NOTES TO EDITORS:
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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FILLING STATIONS MUST BE INCLUDED IN ANY RATES CONCESSIONS

24/02/2017

With continuing suggestions from Government sources that small businesses, especially those embracing ‘hospitality’, will be given concessions on their business rates liability in the March Budget. 
 
Brian Madderson, Chairman of the Petrol Retailers Association (PRA), commented, “The number of independent forecourt operators has collapsed by a staggering 70% since 2000* and the closure trend continues though at a lower rate of about 150 sites per year. In order to survive, many owners have incorporated convenience retailing and fast food franchises such as Subway, Starbucks, Greggs, Burger King, KFC and Costa Coffee on their forecourt sites.  This certainly represents a significant presence in the hospitality market”.
 
When the previous Chancellor announced a rates relief package for the high street retailers in 2014/15 and 2015/16, PRA sought and obtained immediate agreement** from the Financial Secretary, Vicky Morgan MP, that forecourts would be included.
 
Mr Madderson added, “We ask that the Chancellor and Secretary of State for Communities & Local Government again help our small retailers by including them in any proposed rates concessions as ‘to freeze them out’ would be seriously anti-competitive.
 
“In the longer term, we would welcome a full examination of the Business Rates methodology as our forecourt shops remain rated on the basis of turnover (equivalent to a performance tax as sales increase from investment and productivity) whereas standalone convenience shops are rated on the sales area (tax is fixed unless the sales area increases).  
 
“This is hugely anti-competitive where our members struggle to compete on a level playing field with major national retailers. This deeply unfair methodology just has to change.”
 
 
ENDS
 
NOTES TO EDITORS:
 
*Figures from Experian Catalist 
**Letter from Financial Secretary: December 2013
Katy Recina, Press Officer
Mob: 0776 602 2583
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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PETROL PRICE OMENS CONTINUE TO LOOK BLEAK FOR 2017

03/01/2017

“The wholesale costs for both petrol and diesel rose by nearly 5.00ppl during the month of December, due to increasing global oil prices following on from the historic “agreement” between OPEC and key non-OPEC producers including Russia” said Brian Madderson, Chairman of the Petrol Retailers Association (PRA).

 

Mr Madderson continued “however, prices on the forecourt moved up by only 3.00ppl this month, so there will be pressure for further increases as we move into January. According to Experian Catalist data, the UK average for petrol has moved to over 117ppl and diesel will be close to 120ppl by the year end. These would have been higher but for the large supermarkets using very low fuel prices to draw customers to their out-of-town stores for that big “Christmas shop”.

 

Currently, the prospects for 2017 look disappointing, as Brent Crude has already risen to over USD57/barrel and a rise to USD60/barrel appears likely if the producers “agreement” holds firm.  Meanwhile GBP has weakened to $1.22 and over Christmas, the media had City analysts predicting significant falls towards $1.10 or even as low as $1.03 in the first half year.

 

Together these will hit wholesale costs and pump prices with the range 125 – 128ppl possible on forecourts across the UK by mid-2017.  This represents a massive 25 to 30% increase in just 18 months and will impact inflation and living costs. The UK is a road transport economy and this disappointing outlook does not look set to aid economic recovery.

 

ENDS

Notes for editors

 

Katy Recina, Press Officer

Mob: 0776 602 2583
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

 

 

 

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OPEC DEAL CUTTING SUPPLY WILL IMPACT UK PUMP PRICES

30/11/2016

News from the OPEC meeting today in Vienna that producers will cut production by 1.2M/barrels per day will see Brent Crude heading towards US$55/barrel according to City analysts such as Morgan Stanley.

 

Brian Madderson, Chairman of the Petrol Retailers Association (PRA) said, “this producer’s accord could push pump prices up to 120ppl very quickly and was one of the reasons we argued for duty cut of 3ppl in the Autumn Statement. 

 

“I am afraid the Chancellor was just too timid and missed a great opportunity to help consumers and businesses going forward into 2017.

 

“With wholesale costs rebounding by nearly 2ppl in the last two weeks, we should expect further increases next month just as the festive driving season and Christmas online deliveries get into full swing.  This OPEC announcement will be welcomed by the producers - but is not good news for the UK economy and inflation.”


ENDS

 

NOTES TO EDITORS:

 

Rupal Rawal, RMI Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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THE PRA WELCOMES THE CHANCELLOR'S DECISION TO INVEST IN ROAD INFRASTRUCTURE AND NOT TO RAISE DUTY ON FUEL

23/11/2016

In recent weeks, we have been meeting with Treasury officials to discuss the impact of a fuel duty cut and have made a number of representations to ministers about the economic impact of an adverse exchange rate and higher oil prices.

 

Petrol retailers have calculated that average UK pump prices could reach 120 pence per litre by the year end, a significant price increase of nearly 20 per cent in just twelve months.

 

HM Treasury’s own study (2014) into the dynamic effects of fuel duty reductions has shown,  the additional spending generated from cutting fuel duty has brought in more income tax and VAT than would have ever been raised by letting fuel duty rise.

 

In 2016 the freeze in duty boosted GDP by 0.57%, generated 112,000 new jobs and put £5.3bn back into hard working Brits consumer spending. It also bolstered tax revenues by 0.2%.

 

Trend volume sales in diesel have delivered a tax windfall to the Treasury of £1 billion and we will be looking to persuade the Chancellor to deliver an actual fuel duty cut in the Spring 2017 Budget.

 

ENDS

 

NOTES TO EDITORS:

Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

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CUT FUEL DUTY TO BOOST BRITAIN'S ECONOMY, SAY PETROL RETAILERS

17/11/2016

A fuel duty cut will provide a reassuring boost to businesses and consumers alike, said the Chairman of the Petrol Retailers Association Brian Madderson in a hard hitting letter to the Chancellor, after emerging from a meeting with Treasury officials. With the economy facing the twin challenges of a weaker pound and a stronger oil price, forecourt bosses say consumers need more money in their pockets to keep the economy resilient. 
 
“As I write”, said Mr Madderson, “the pound is down 27 cents on the dollar on the year, and the price of a barrel of Brent crude is up 4.0% on the year.”  
 
The letter goes on to state that the Treasury is enjoying a £1bn duty windfall from petrol and diesel sales this year.  Mr Madderson also states:
 
“The very rapid growth of online deliveries is one of the cornerstones of the UK’s economic improvement. Road usage by Light Goods Vehicles (LGV) rose by a staggering +6.3% in 2015.
 
“Pump prices are hitting consumers hard, resulting in an estimated £5bn reduced spend by consumers on an annualised basis. Average pump prices are 117 pence per litre (ppl) today compared to 104 pence in January 2016.
 
“The Treasury could regain up to £1billion in revenue by collecting more fuel duty from long haul hauliers.  Foreign and returning UK hauliers are filling up on the continent due to lower diesel duty (20 to 30% lower in Belgium and Luxembourg). Lower fuel prices in the UK would mean more money comes to the UK Treasury. The Border Force and DVSA could be given powers to fine lorries that are found to be overloaded with fuel, beyond say 300 litres.”
 
Mr Madderson told reporters that he has met this week with Treasury officials and that he now “trusts that the Chancellor is warming to the idea of a fuel duty cut and that his Autumn statement will set the economy on the road to prosperity.”
 
 
ENDS
 
 
Notes to editors
1. Trend volumes for petrol and diesel show -0.5% decline and continuing +4.8% growth respectively, year on year (yoy). Retail crossover with diesel demand outstripping petrol took place mid-2015.  
2. With overall fuel volumes up yoy +2.8% for the first half of 2016, on present trends this could reach +3.0% for the year - close to 47bn litres sold for the year. This will produce a windfall tax gain this year from extra duty exceeding £870mn (1.5bn x 57.95ppl). 
3. Add the extra VAT from the retail volume increase with higher prices and the Treasury will benefit by considerably more than £1.0bn.
4. The Petrol Retailers Association (PRA) is the representative body for the UK’s independent fuel retail network. The sector comprises nearly 6,000 independent forecourt retailers which account for around 70% of the total number of fuel retail sites.
 

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GOVERNMENT LISTENING HARD TO THE CASE FOR A FUEL DUTY CUT

16/11/2016

The Petrol Retailers Association (PRA) has been meeting with Treasury officials to discuss the impact of a fuel duty cut this November. PRA Executive Chairman Brian Madderson emerged from a meeting yesterday confident that the case for cuts was well understood.
 
"We have made a number of representations to Ministers in recent months about the economic impact of an adverse exchange rate and higher oil prices. The Chancellor of the Exchequer has thanked the PRA for these representations has set officials to work on examining the options."
 
Mr Madderson believes a significant cut is needed to ensure rising fuel prices did not damage prospects for economic growth in 2017. He cites the Government's own report, published in April 2014, "Analysis of the dynamic effects of fuel duty reductions” (HMRC/HMT) as evidence that fuel duty reductions directly increase GDP by up to 0.5 per cent and boost government revenues overall, as a result of higher profits, wages and consumption. No new studies have been conducted to day to challenge this Report. 
 
"Given the volatility of the pound and the backdrop of an uncertain global price for crude oil, the Government would be wise to take some sting out of pump price rises this year by reducing fuel duty," said Mr Madderson.
 
"With the importance being given to economic stability by this Government, we hope the Chancellor is warming to PRA’s demand for a 3p per litre duty cut."
 
 
ENDS
 
NOTES TO EDITORS:
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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CHANCELLOR MUST CUT FUEL DUTY TO KEEP UP CONSUMER SPENDING

08/11/2016

With over £5billion/year higher costs to consumer from rapidly rising fuel costs, Brian Madderson, Chairman of the Petrol Retailers Association (PRA) has again written to the Chancellor of the Exchequer to state the overwhelming case for a 3 pence per litre cut in duty in his Autumn Statement.
 
There has been a “perfect storm” hitting pump prices over recent weeks with news of a potential cut in oil production being discussed between OPEC and Russia plus the weakening of sterling versus US dollar.  Global oil prices, as represented by Brent Crude, had moved up by 15% but by far the biggest influence has been the near 25% fall in the UK’s exchange rate against the US currency.
 
From an average pump price of 104 pence per litre (ppl) at the start of the year, the market is facing an average of 120ppl by Christmas – some 16ppl extra. With 35bn/litres of road fuel purchased annually, this extra cost could be taking over £5billion out of consumer’s pockets that would have been spent elsewhere. Inevitably, this will start to put the brakes on overall spending as well as pushing up inflation which is now expected to rise to 3 or even 4% in 2017.
 
Mr Madderson argues that the Chancellor should use the windfall double tax gains (fixed duty at 57.95ppl plus 20% vat) made this year from year-on-year increased fuel volumes to underwrite a significant fuel duty cut. This is a perfect opportunity to show that the Government really does mean to keep the economy moving along when so many uncertainties lie ahead.
 
1. Pump prices (Experian Catalist)
 
2. UK fuel statistics (DECC quarterly reports)
 

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RMI CALLS ON GOVERNMENT TO ENGAGE WITH THE INDUSTRY

25/10/2016

“With the UK in a period of uncertainty, we are urging government to engage with all sectors in our industry to prevent any uncertainty, encourage confidence and enable investment”, said RMI board member Colin Parlett, speaking at this year’s retail motor industry federation annual dinner in London tonight (20 October 2016).
 
He added, “The UK’s automotive sector is a global leader and the future state and success of the industry could be jeopardised if a trade deal is not secured to allow tariff free access to the European single market - following our vote to leave the EU.
 
“It is now essential that the government makes a commitment to outline a clear negotiating position in order to ensure our industry has what it needs to secure its future success.
 
Political journalist Andrew Neil was the guest speaker at this year’s dinner.
 
 
 
ENDS
 
NOTES TO EDITORS: A copy of Colin Parletts speech is available from the press office.
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422 
Press Office fax: 020 7307 3406
 
 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

 

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MOTORISTS TO BE HIT BY RISING PUMP PRICES

10/10/2016

“The double impact of the pound weakening against US$ and global oil prices strengthening will cause pump prices to move sharply upwards “ said Brian Madderson, Chairman of the Petrol Retailers Association (PRA).

“The pound has now fallen by over 15% to U$1.24 since the pre-Brexit level of US$1.47 and dropped even more alarmingly last week to just US$1.15 in the ‘flash’ trading which started in Asian markets. Fortunately it recovered quickly but there are City analysts talking about even lower levels to come including parity with US$.

“At the same time, renewed talks amongst OPEC members’ trying to curb oil production has led to a hardening of global oil prices with Brent Crude passing the psychological barrier of US$50/barrel.

“As a result, Platts wholesale costs to retailers have increased by over 6ppl for petrol and 7ppl for diesel in the last few weeks, whereas the UK average pump prices have moved up by less than 2ppl for both grades over the same time period. 

“Thus motorists can expect increases of up to 4 or 5ppl by the end of the month unless there are favourable corrections to the exchange rate and to global oil prices. This will also increase UK inflation rates.

“The PRA has written to the Chancellor advising that the Government should support the economy in the face of such fuel cost increases by reducing Excise Duty in his Autumn Statement from 57.95ppl to 55.00ppl. This would be an extremely popular and valuable contribution to ensuring consumer spending does not start to fall away and damage business prospects as the new Government grapples with the aftermath of Brexit.”



ENDS

NOTES TO EDITORS:
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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PRA WELCOMES OPEC DEAL

04/10/2016

PRA chairman Brian Madderson has welcomed news of a potential deal to limit production within the oil producers cartel OPEC, which could result in an increase in the price of oil.
 
He cautioned that implementing any deal involving countries such as Russia and Saudi Arabia cutting production would be difficult, but said: “A modest increase in the price of oil will be welcome news to the oil companies and to the wider fuel sector.”
 
He said if the deal was implemented it would reinforce the PRA’s view that oil would be trending towards $60 a barrel by the end of the year.
 
He added: “There is no likelihood of the high prices of two years ago, but the days of £1 a litre are long gone. It will be nearer £1.20 a litre by the end of the year.”
 
The RAC agreed that any potential increase would be limited. Spokesman Simon Williams said: “News that OPEC has agreed a preliminary deal to cut production marks a major move away from its long-term over-supply strategy. This has been aimed at trying to maintain its market share by thwarting the threat of US shale oil with a lower barrel price than its break-even production point.
 
“While the detail of the production curb is to be decided next month, it is well worth remembering that OPEC members often struggle to reach a consensus and that the low price strategy of the last two and a half years will be wasted if the barrel price goes above $55 and shale oil production kicks back in at full pace.
 
“From a motorists’ perspective we don’t feel there is cause to panic as, while pump prices may rise a little in the short-term from the current 112p a litre for petrol and 113p for diesel, we are very unlikely to see a return to the dark days of April 2012 when unleaded was 142p and diesel was 148p as a result of oil being well over $100 a barrel.
 
“With the oil price as of close of trading on Wednesday standing at $45 a barrel there is some way to go before motorists experience any major pain at the pumps, especially as the actual cost of the fuel only represents around a third of the pump price, with the lion’s share being made up of fuel duty and VAT.”
 

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PRA RAISES CONCERNS OVER E10 FUEL PROPOSALS

10/06/2016

The Petrol Retailers Association (PRA) has written to Andrew Jones MP, Parliamentary under Secretary of State for Transport, raising their concerns that government ministers are drawing up plans to introduce new ‘green petrol’, in a move which will push up costs for UK fuel retailers and may force some out of business.
 
Members of the Department for Transport energy select committee have been told that introducing E10 fuel is the UK’s only viable route to meeting the emissions targets, which call for 10% of transport energy to come from renewable sources by 2020. However, UK forecourts have said it will push up infrastructure costs and may not work on almost 1.2million older cars*.
 
Brian Madderson, Chairman of the PRA comments, “The proposed new standard E10 fuel is said to have lower energy content than the current E5 fuel and will be less efficient by reducing miles per gallon. To reflect this, the PRA believes that the wholesale price of fuel should be set at a proportionately lower level by reducing duty. This is a step which needs to be calculated and agreed between the government and the industry.
 
“The majority of filling stations in the UK are unable to stock three grades of petrol due to limited tanks/pipes/dispensers. This would cause immense financial disadvantages to the smaller, often rural filling stations which generally have facilities limited to a single grade of petrol, and thus would lose out on serving all sectors in the market.  These vulnerable sites would be forced to close down as a result. 
 
“One of our members, Certas Energy, who have storage and distribution terminals across mainland UK and supply nearly 1,000 independent retailers including the Western and Northern isles of Scotland, feel that the government is moving the industry towards a difficult situation whereby they would have to stock not just 3, but 4 grades of petrol because they cannot supply ethanol grades offshore.” 
 
Certas Energy Retail Director Ramsay MacDonald comments, “We share the PRA’s concerns that a more thorough debate is needed on this important issue. To cover all cars means selling at least two grades of fuel and most of our rural sites don’t have this capacity. The proposals as they stand will have zero benefit for independent retailers or their customers, and many potential downsides.” 
 
Madderson concludes, “Despite the government’s focus on carbon reduction measures and the potential benefits to the environment with the introduction of E10 fuel, independent fuel retailers do not support the proposals. At this stage the PRA believes that a more thorough debate is needed on the commercial issues and cost implications to motorists and has requested an urgent meeting with the minister to discuss this further.”
 
 
 
ENDS
 
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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PRA WARNS OF INCREASE IN FUEL PRICES AS CRUDE OIL SOARS BY 80%

18/05/2016

“The UK will experience an increase in fuel prices, as Brent Crude Oil rises 80% since January of this year” warns Brian Madderson, Chairman of the Petrol Retailers Association (PRA). 
 
Commenting on yesterday’s (16 May 2016) data reports that Brent Crude Oil was close to touching $50 per barrel (USA dollars), Madderson continued:
 
“It is remarkable that the increase in wholesale fuel prices have not yet fully reflected this years’ fast recovery in crude oil. As it currently stands, Crude Oil prices have not yet been factored into the pump price.”
 
Despite the increase in Crude oil, UK fuel prices have only risen by 6%, from 102.70ppl to 109.00ppl to date. When looking at future forecasts of petrol prices, Madderson said:
 
“UK pricing is now heading towards 115ppl for the summer. This is due to high demand, increased by the start of the ‘driving season’ in North America and a decline in Crude Oil stocks.
 
“With the impending EU Referendum and City Analysts worrying that the UK’s economic recovery is running out of steam, this new pressure on household budgets and businesses is disappointing.”
 
 
ENDS
 
NOTES TO EDITORS:
Katy Recina, Press and Policy Department
Tel: 020 7307 3422
Mob: 0776 602 2583
Press Office direct line: 020 7307 3422 
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 
 

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RMI ACADEMY OF AUTOMOTIVE SKILLS OFFICIALLY OPEN

06/05/2016

The RMI Academy of Automotive Skills was officially opened today (Friday 6 May) in Southam, Warwickshire.

 

The brand new, state of the art training facility set up by the Retail Motor Industry Federation (RMI), will act as a leading industry resource for MOT tester training, and in time will offer wider high quality, cost effective automotive technical training. 

 

Courses will include:

 

  • New MOT Tester Training
  • New Motorcycle Tester Training
  • MOT Manager Training
  • ATA  L3 Light Vehicle Inspection
  • CPD/Annual Assessment
  • F-GAS

 

RMI Director Stuart James commented, “The way MOT testers are trained is changing, with the qualification to become a National Occupational Standard (NOS). This will be a recognised qualification for testers, creating a professional standard for both the role and the MOT industry.

 

“As the UK’s leading automotive trade body, we will support all MOT stations. With this major change to the way MOT testers are trained, the RMI is the first off the mark to support the industry and has developed a cost effective solution.”

 

Today’s launch was attended by the Rt Hon Jeremy Wright QC MP for Kenilworth and Southam who officially opened the centre.

 

Jeremy Wright MP commented, “As the government continues its commitment to developing apprenticeships, it is extremely positive to see that the RMI has also recognised the importance of continued employee training and development, which plays a vital role within the automotive industry. I am delighted to have been a part of this important occasion.”

 

The training centre will be available to all MOT garages in the motor trade.

 

For more information about the RMI Academy click here

 

ENDS

NOTES TO EDITORS:

Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk

Email: rupal.rawal@rmif.co.uk


The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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ROAD FUEL SALES SHOW REAL UPLIFT

21/04/2016

“Latest Government data suggests that increased economic activity and cheaper prices had a significant impact on the demand for fuel in the month to 14 March”, said Brian Madderson, Chairman of the Petrol Retailers Association.
 
March diesel sales were up by 7.9%, petrol sales up by a surprising 5.6% and overall sales including commercial up by 7.0% versus same month last year. 
 
Madderson continued, “However, much of this increase will have been taken by the big four supermarkets that have been using fuel prices in the increasingly bitter competition for shoppers at their beleaguered out of town mammoth stores.”
 
These strong sales trends would also reflect an extra trading day of the Leap Year and the relatively weak petrol sales in the same March period last year. 
 
In summary, diesel sales growth for 2016 YTD remains ahead of FY2015 comparisons (5.8% vs 3.2%) with petrol sales decline also favourable YTD at (0.7%) vs FY2015 decline of (2.0%).
 
For sales to the HMRC year from April 2015 to March 2016 versus same period one year ago the Oil Receipts (duty) from petrol & diesel sales were £466m or 1.7% higher, with diesel sales up by 3.8%, petrol sales down by (1.5%) and overall sales including commercial up by 1.7% . 
 
With these positive tax increases to the Treasury, Madderson said that, ”it was helpful the Chancellor listened to the submissions from industry including PRA and froze duty in the Spring Budget for a further 12 months.”
 
 
ENDS
 
NOTES TO EDITORS:
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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FUEL COSTS ON THE MARCH AGAIN

12/04/2016

Petrol retailers across the UK are doing everything in their power to hold down pump prices as the summer driving season continues after the Easter holidays, said the Petrol Retailers Association (PRA).  
 
Brian Madderson, Chairman of the PRA commented, “the oil market has rebounded strongly pushing up the wholesale cost of petrol by 8.00ppl in less than six weeks since the start of March[i].
 
“During this time the average retail price for petrol across the UK has only increased by just over 4ppl to 106ppl[ii]– so it is ludicrous for industry commentators to suggest that retailers are profiteering. 
 
This is a market sector so competitive and so scarred by ultra-low margins that over 4,000 independent operators have been forced out of the industry in the last 15 years. This grim trend decline continues with another 165 forecourt business closing their doors in 2015.
 
“The PRA’s plea to the Government to freeze fuel duty was well heeded following rumoured proposals to add another 2ppl or even 3ppl in tax. This would have resulted in fuel cost misery for businesses and motorists alike.
 
“I think we are now well on our way back to 110ppl as the city is still forecasting further weakening of £sterling versus US$ in the run-up to the EU Referendum in late June.[iii]
 
We expect sub £1.00 litre pricing to be consigned to the history books as we head towards the summer months.”
 
1. Wholesale cost from Platts
2. Pump price average from Experian Catalist
3. Clifford Chance study on ‘Potential impact of Brexit’
 
 
ENDS
 
NOTES TO EDITORS:
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

 

 

 

 

 

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OIL MARKET REBOUND HITS EASTER PUMP PRICES

24/03/2016

Petrol retailers across the UK are ‘desperately’ trying to hold down pump prices just in time for the Easter bank holiday weekend – with both the RAC and Highways Agency predicting millions of extra cars on the roads, said the Petrol Retailers Association (PRA).  
 
Brian Madderson, Chairman of the PRA added, “As forecasted before the Chancellor’s 2016 Budget, the oil market is beginning to rebound quite strongly. The wholesale cost of petrol has increased significantly by 6ppl over the last three weeks[i]and diesel has also moved up with more than a 2ppl rise since early March.
 
“During this time however, the average retail price for petrol across the UK has only increased by 2ppl to 104ppl[ii] - once again killing off any notion that there is a ‘rocket and feather’ pricing approach taking place. 
 
“The PRA’s plea to the Government to freeze fuel duty was well heeded following rumoured proposals to add another 2ppl in tax. This would have resulted in fuel cost misery for businesses and motorists alike.
 
“I think we are now well on our way back to 110ppl as the city is still forecasting a potential weakening of £sterling versus US$ in the run-up to the EU Referendum in June.[iii]
 
“Even supermarkets competing for the Easter trade surge are pushing up their pump prices, with many now showing over 100ppl for both petrol and diesel. We expect sub £1 litre pricing to come to an end as we head towards the summer months.”
 
1. Wholesale cost from Platts
2. Pump price average from Experian Catalist
3. Clifford Chance study on ‘Potential impact of Brexit’
 

ENDS

 

NOTES TO EDITORS:

Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk


The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.   

 

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CHANCELLORS GIVES HOPE TO SMALL FILLING STATIONS

17/03/2016

Details of the concessionary rates relief scheme announced by the Chancellor in his 2016 Budget provide a potential lifeline for small independent petrol filling stations (PFS), often located in remote rural areas. 
 
The Petrol Retailers Association (PRA) and Experian Catalist found a further 165 small PFS had shut down in 2015. Since 2001 over 4,200 (62%) independent PFS have closed down across the UK.
 
Brian Madderson, Chairman of the PRA comments, “the Chancellor’s announcement was very positive news and a significant win for our lobbying to the Treasury on the issue of rates relief. 
 
We had written asking for significant improvements to be made and now from April 2017 almost 70% of all independent PFS in England will benefit from the relief schemes.”
 
The PRA works closely with ratings specialists MUA Property Services who identified 1,084 PFS who currently have a Rateable Value (RV) below £15,000. We estimate that a 25% increase to their RV’s in 2017 would still see over 500 PFS below the new concessionary threshold.  This means that over 12% of the 4,345 independent PFS still operating in England would be exempt from paying any rates – a massive cost saving to their businesses.
 
A further 570 independent PFS currently rated between £12,000 - £15,000 would be subject to the tapered relief scheme from 2017, but still see measureable savings.
 
There are almost 2,000 PFS with RV’s between £15,000 - £50,000 that will benefit from paying on the smaller uniform business rate (UBR) with a site at the top end -saving £650 if the scheme came into force this year.
 
The decision to change the annual inflationary escalator from RPI to the lower CPI from 2020 was also further good news for PFS operators. 
 
Meanwhile, PRA will continue working with the ATM ‘alliance’ to have through-the-wall cash machines removed from the rating list from April 2017 for small convenience shops, and push for the Value Office Agency (VOA) to work harder to capture business rates on hand car washes which would total up to £200m to the Chancellor’s annual tax intake.
 
 
ENDS
 
NOTES TO EDITORS:
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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PRA Budget Comment

16/03/2016

FUEL DUTY
The Petrol Retailers’ Association welcomes the Chancellors announcement in today’s budget to continue freezing fuel duty for a further 12 months till April 2017. 
 
The PRA has been lobbying Government and the Treasury on this – in particular outlining the potentially damaging effects on the economy and household budgets of even an inflation-linked rise, so it is good news to hear the Chancellor’s commitment.
 
Today’s announcement will save households an average of £75 a year, and £250 for businesses.
 
BUSINESS RATES
The government has made no mention of the inefficient work by the Value Office Agency (VOA) allowing a number of hand car washes (HCW) – that are often unregulated and damaging local water tables with their chemical pollutants* to escape appropriate business rates.
 
This missed tax revenue opportunity could have produced up to £1bn since 2010* – which if collected would have enabled the Chancellor to cut fuel duty rather than just freezing it for the sixth year in a row. 
 
Such a move would also have provided a level playing field for independent forecourt operators with automatic (ACW) and hand car washes (HCW) whose financial sustainability continues to be threatened as shown by over 165 closures in 2015.**
 
TOBACCO 
The PRA is also pleased to hear that the Government will consult on increased sanctions to prevent tobacco fraud. We have been wary of the increases to tobacco tax as HMRC figures show that there has been a rise in illicit trade. We welcome more details on the consultation in due course.
 
Brian Madderson
Chairman of the Petrol Retailers Association
 
ENDS
 
NOTES TO EDITORS:
 
*Figures from the Car Wash Association (CWA)
** Figures from Experian Catalist
 

Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk Email: rupal.rawal@rmif.co.uk


The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

 

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KEEP IT DOWN GEORGE, SAY PETROL RETAILERS

10/03/2016

Chancellor must keep fuel duty frozen to hang onto his VAT and income tax receipts

 

Petrol retailers’ chief Brian Madderson today called on the Chancellor to heed his own words and keep fuel duty down in this month’s Budget.

 

Five years ago, the Chancellor ‘put fuel in the tank of the British economy’ by freezing fuel duty and leaving more cash in the hands of hard working families and businesses. This led to more goods being purchased and more people being hired.

 

“The Chancellor must keep duty down following the extraordinary rise in wholesale cost of fuel that we have seen in recent weeks,” said the Chairman of the Petrol Retailers Association Brian Madderson.  

 

“Motorists and businesses should expect a rapid rise in pump prices in the days ahead of around 5p per litre. The Chancellor should heed his own words about putting fuel in the tank of the British economy.”  

 

The Treasury published a paper in 2014 that proved that the additional spending generated more income tax and VAT than would have ever been raised by letting fuel duty rise. This is because savings on fuel costs led to spending on other services. Retailers and transport firms use the savings to expand their businesses, while households increase spending on other services, the study says.  

 

Madderson continued, “I trust he is listening to the Treasury officials who argued in 2014 that the short term gains that have been measured since the freeze was put into place will extend for decades, boosting GDP to higher levels than previously estimated.

 

“Fuel duty and VAT already represent around 75 per cent of the average pump price purchase. A duty increase could take us back to the days of the haulage industry’s fuel supply blockades.”   City analysts are forecasting further weakening of £pound to as low as 1.20 versus US$ in the months ahead as financial institutions worry over a Brexit vote in June. This would add another 3ppl to pump prices.  

 

“If the Chancellor increases fuel duty by 2ppl next week as some officials have hinted, then the impact on our economic recovery and inflation will be further magnified. This would be massive blow to country as the overall effect could be a dramatic rise by as much as 10p per litre by the summer,” Madderson concluded.  

 

ENDS

 

NOTES TO EDITORS: Brian Madderson is available for interview upon request.

 

Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
Web: www.rmif.co.uk
Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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FREIGHT TRANSPORT ASSOCIATION: FUEL DUTY INCREASE – ECONOMICALLY IRRESPONSIBLE, SAYS FTA

10/02/2016

It would be economically irresponsible, if the Chancellor were to increase fuel duty in the March Budget, says the Freight Transport Association (FTA) in response to a leading think tank report published yesterday. 
 
According to the Institute for Fiscal Studies (IFS) annual ‘green budget’, George Osborne, may be forced to raise prices at the petrol pumps to meet his election pledge to eliminate the deficit of £3 billion in the country’s finances. 
 
FTA has said that such a move would hinder the still fragile recovery and further weaken confidence, adding that it is now time for further reductions in fuel duty to keep the economy growing. 
 
James Hookham, FTA’s Deputy Chief Executive, said: “Regardless of the price of oil, for every penny fuel duty goes up it costs truck and van operators around a £100 million in a full year. It won’t make them drive any less – goods still need to move to where they are needed - and it won’t help them invest in making their vehicles and drivers even more efficient. It will just cost them a lot of money.” 
 
The freezing of fuel duty rates at 2011 levels has meant that FTA members reliant on commercial trucks and vans have been spared the economically stifling effects of a tax on a commodity they have no option but to buy. Instead, they have been left with cash in their trading accounts to spend on hiring more staff or purchasing other goods, all of which have served to drive the UK economy out of recession at one of the fastest growth rates in the developed world. 
 
Mr Hookham added: “All this additional spending has actually generated more income tax and VAT, so fuel duty freezes are never as costly as the headline figures suggest. The Treasury even published a paper in 2014 that proved this.” 
 
The FTA message to the Chancellor is that whilst most of his announcements on Budget day will be buried in the small print of countless Treasury documents, the impact of his decisions on fuel duty will be displayed in numbers several feet high at the front of every filling station in the country. 

 

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PRA Comment - Currency Movements and Taxation Key to UK Fuel Prices in 2016

30/12/2015

Brian Madderson, Chairman of the Petrol Retailers Association (PRA) Comments, "Once again there is a wide range of 'guestimates' for the direction of Brent Crude oil pricing in the New Year from its present low level of US$36/barrel. Some city analysts such as Goldman Sachs are now suggesting US$20/barrel could be the low point whereas others, including Shell, are more optimistic with forecasts of US$50/barrel and above. The reality is that no one knows but the consensus appears to be 'lower for longer' which could be around US$40/barrel for much of the year.
 

"There has been and will be a huge volume of column inches rightly devoted by the media to the vital issue of forward oil pricing but most forget the role of currency exchange on UK wholesale costs. Already £ sterling has weakened against the US$ from 1.55 down to 1.49 so holding back recent pump price reductions.  Now some money analysts in the City are looking at further weakening in 2016 to as low as 1.27 or even 1.15.
 

"If the worst case occurs then an abrupt correction to pump prices, both diesel and petrol, would see rises by up to 8ppl very quickly – thus halting the downward price spiral unless the value of oil had collapsed simultaneously to below US$30/barrel.

"These two factors of global oil pricing and UK exchange rates will be monitored carefully through the early part of next year. The Chancellor will be delivering his Budget on 16 March and an unwelcome rise in fuel duty could also adversely impact pump pricing by another 2 - 3ppl from April.
 

"Overall, the UK economy will continue to benefit from the collapse of global oil pricing which produced the peak of 142ppl for petrol in April 2012 - but will we enjoy sub £1.00/litre motoring throughout 2016?"


ENDS

NOTES TO EDITORS:
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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UK SUPERMARKETS DEFY COMMERCIAL REALITY

11/12/2015

The wholesale price of petrol has risen by over 1.3ppl since the start of this week, despite the strengthening of GBP versus US$ and the low level of Brent Crude.  Yet certain supermarkets are so anxious about their Christmas sales that they are cutting petrol prices to the bone with sub £1.00/litre offers this weekend.

Brian Madderson, Chairman of the Petrol Retailers Association, said “This is precisely the behaviour anticipated and explained when interviewed live on the Sky News for the Ian King business show last Thursday.

“This action defies commercial reality in an increasingly volatile market and leaves the independent forecourt retailers having to explain to motorists why their pump prices are not falling in the same manner.

“If and when the wholesale price of petrol does fall – and it is higher now than it was in mid-November – then the UK will see a reduction to average pump prices which are still stubbornly sitting at above 106ppl.

“It remains increasingly unlikely that motoring organisations’ strident wishes for £1.00/litre across the UK will be seen in 2015.”


ENDS

NOTES TO EDITORS:

Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

 

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PRA RESPONDS TO RAC ANNOUNCEMENT ON PETROL PRICES

10/12/2015

“The Petrol Retailers Association remains sceptical following this morning’s announcement that the RAC has predicted petrol prices should drop to £1 a litre before Christmas if retailers ‘do the right thing’ and pass on savings from the lower oil price”, comments Brian Madderson, Chairman of the Petrol Retailers Association (PRA). 
 
Earlier this week, the price of Brent crude oil fell below $40 a barrel for the first time since 2009.
 
The PRA believes that it is the UK wholesale cost in pence per litre (ppl) that drives pump pricing and there is no direct linear relationship to changes in Brent crude oil prices.
 
Madderson continues, “According to Experian Catalist the average price for petrol in the UK is still close to 107ppl, and the wholesale price last night was only 0.37ppl less compared to mid-October.
 
“It would require a substantial period of time for Brent crude oil to remain at or below $40 a barrel, and for the wholesale price to fall dramatically in order for us to see pump prices fall to the predicted level by Christmas or even the New Year.”
 
 
ENDS
 
NOTES TO EDITORS:
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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PRA WELCOMES CHANCELLOR’S ANNOUNCEMENT TO MAINTAIN POLICE SPENDING

25/11/2015

With forecourt crime costing the economy an estimated £40 million a year, petrol retailers across England and Wales have been threatened by police authorities refusing to investigate ‘drive-offs’* and other forecourt crimes if budget cuts were implemented.
 
Brian Madderson, Chairman of the Petrol Retailers Association (PRA) comments, “The PRA welcomes the announcement of the maintenance of police budgets, following news that the Home Office recently established a Forecourt Crime Senior Steering Group with funding for at least 12 months. 
 
“Forecourt crimes are most often committed by regular offenders, leading on to major theft and violence.
“Next week we are meeting with The Rt Hon Mike Penning MP, Minister of Crime and Policing to discuss measures that will significantly address this issue and now there will be a more positive approach.
 
“We look to real support from police authorities to eradicate this problem and our retailers will work positively with police through their forecourt CCTV systems to provide a real insight on serious criminal activity. 
 
“The PRA believes that this should be a win – win situation both the police and retailers.”
 
*Drive offs – Driving away from a petrol station without paying for your fuel

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TREASURY CONFIRMS FUEL DUTY REMAINS STATIC FOR THE CURRENT FISCAL YEAR

25/11/2015

There were concerns raised that the Chancellor would take the opportunity to raise fuel duty by 1 or 2ppl which would have provided almost £1 billion extra revenue for the Treasury over the next 12 months.
 
There was also speculation that he might increase the tax on diesel vehicles in an attempt to drive companies and motorists away from diesel vehicles in the wake of the recent emissions scandal.
 
Brian Madderson, Chairman of the Petrol Retailers Association (PRA), today received confirmation from the Treasury that fuel duty will remain at 57.95ppl on both grades until 31 March 2016 as announced in the Spring Budget.
 
He commented, “This is reassuring for motorists and businesses that are leading our economic revival.  Road fuel volumes increased by over 1.1% for the first half of 2015 compared to last year, and so the Chancellor is obtaining extra revenue of £300 million a year to help with funding in other areas. 
 
“The Treasury monitors fuel taxation, usage and duty levels on a regular basis so we have to wait until next year’s Spring Budget for the next announcement on duty”.
 
 

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PRA COMMENTS ON CONSERVATIVE PARTY BUSINESS RATES PROPOSAL

07/10/2015

Following the news that Local Authorities (LA’s) in England will be able to keep the proceeds from business rates raised in their area under plans unveiled by Chancellor George Osborne, the Petrol Retailers Association (PRA) has deemed this as ‘another bitter blow to business pragmatism’.
 
Speaking at the conservative party conference in Manchester, Mr Osborne called the new plans the "biggest transfer of power" in recent history. He stated that councils would be able to cut rates to attract new business whilst others may be able to raise rates to boost income. Overall, the Local Authorities would hold on to the full £26bn a year raised from business rates so consigning the Uniform Business Rates (UBR) scheme to history.
 
Brian Madderson, PRA Chairman comments, “The radical restructuring of business rates which the retail industry was promised has not happened. Instead, the now well-worn path of ‘localism’ that we have already seen failing with the National Planning Policy Framework (NPPF) is being imposed upon us. Devolution does not always provide the best answer for business.
 
“PRA members have tried and failed with many Local Authorities to obtain rates relief for small rural filling stations to prevent their closure. They have also appealed for relief on cash machines (ATM) at filling stations with little success. This is down to central government squeezing funds for LA’s on the one hand, and on the other encouraging them to raise more revenue from Business Rates. 
 
“Many LA’s now employ sub-contractors to identify properties including ATM’s that have not previously been rated as a means of bolstering their income.
 
“Our larger members have networks of filling stations which involve multiple LA’s. There will be an unwelcome increase in time and cost to appeal rating decisions made in each area. It will provide uncertainty as to costs.  It could even lead to unfair competition between filling stations in adjacent LA’s which have significantly different rates.
 
“We believe that this proposal is just another example of a government completely out of touch with the retail business community – similar to the recent proposal for a ‘living wage’.”
 

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Articles from MUA Property Services Limited (Charted Surveyors)

21/09/2015

The end of the Valuation Office Agency's supposed neutrality?

As part of the forthcoming Enterprise Bill and the Government’s pledge to reform the Rating system, it has been announced that the law will be amended to permit the Valuation Office Agency (VOA) to share information with Local Councils.

This is being promoted as an administrative simplification under the “tell us once” policy. Obviously, that immediate benefit cannot be denied. However, it must be remembered that Local Councils used to do the valuations for Rating, as well as administer the charging process, until the middle of the last century. The Government of that day separated the processes, making the VOA responsible for the valuation aspect, with the rationale being fairness and impartiality.

Times have changed somewhat, with Councils now under pressure and actively incentivised to increase the aggregate Rateable Value within their boundaries. Likewise, from the VOA position, the duty to maintain a fair Rating List seems to take a subservient role to “defence of the List”.

It is therefore with some trepidation on behalf of ratepayers that we see these two powerful common interests coming together. Will we see yet more debacles like the ATM situation? This arose from Councils hiring consultants to identify gaps in the Rating List. We now see the prospect that the VOA may be sharing information which will alert Councils to other deficiencies in the List.

 

Business Rates appeals changes announced in Enterprise Bill

As widely flagged by the Interim Findings of the Business Rates Administration Review discussion paper published on 10 October 2014, the Government has announced major changes to the Business Rates appeals system as part of the forthcoming Enterprise Bill.
The measures in the Enterprise Bill will broaden the existing enabling powers to ensure that comprehensive, effective and transparent reforms can be put in place. The changes to the measures in the Enterprise Bill broaden the existing enabling powers to ensure that comprehensive, effective and transparent reforms can be put in place. The changes to the enabling powers will allow secondary legislation to be made covering:

  • A new Check stage;
  • Civil penalties of up to £500 for the provision of false information, and appeals against those penalties; and
  • Certain matters relating to appeals (including grounds for appeal, matters which may not be taken into account in the appeal, the admission of new evidence, and the payment and refund of fees).

The third point is the major alteration and raises the spectre of

  1. A possible narrowing of the ability to appeal on certain grounds.
  2. Certain areas of evidence becoming excluded from consideration.
  3. Possible introduction of charging ratepayers to make a Rating appeal.

As ever, the devil will be in the detail, but it would seem to us that there is a third and unstated aim for the changes – to reduce the number of appeals, and the mention of fees suggests that this may well be by hook or by crook 

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Understanding the true cost of fuel

03/09/2015

James Foxall from the Daily Telegraph Cars talks about the true cost of fuel and how the wholesale price of diesel droppped months ago, not that consumers would have noticed.


Diesel fuel costs less than petrol. "Great news, but did you know that while the wholesale price has been lower for months it's taken a while for it to be passed on to us consumers? 


The AA has already described the fuel companies as "plundering diesel drivers to the tune of four to six pence per litre". To read the full article click here

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Newsflash

26/08/2015

The Petrol Retailers Association (PRA) is pleased to announce that one of their members has successfully appealed via the First Tier Tax Tribunal against HM Revenue & Customs (HMRC) imposition of unreasonable conditions, to obtain an excise duty Deferment Account Number (DAN) for Oil Products.
 
Brobot Petroleum Limited, a PRA member and family owned company in the Midlands with 23 filling stations, has been fully approved by HMRC under the Excise Payment Security Scheme (EPSS) in 2013. The scheme was introduced by government in 2007, specifically to enable small and medium sized businesses to defer excise duty for up to 31 days with nil security
 
Deferring the fuel duty provides a number of significant benefits to the independent retailers which include:
 
Credit on the duty payable to HMRC extended to the full length (up to 31 days) for the appellant
Elimination of charges held by suppliers against some of the appellant’s properties as a condition of a shorter period of credit
Elimination of excise bad debt for the supplier
Brian Madderson, PRA Chairman comments, “The PRA has provided active support at the tribunal with our witness statement being cross-examined.
 
“We feel that the ability to buy fuel under duty deferment arrangements would also eliminate most of the conditions that lead to apparent stock losses on each and every delivery of fuel from suppliers.  
 
“HMRC should have been intervening to prevent such losses but have failed in their duties to retailers, hence the importance of this decision.”
 
Since 2001 over 4,000 independent retailers (60% of the total) have been forced to close their businesses largely due to financial pressures. It is likely that we will continue to see at least 150 cease trading this year.
 
Madderson continues, “This ruling should help many to stay in business by improving cash flow, increasing fuel stock levels, reducing costs and becoming more competitive. 
 
“The PRA believes that a more robust and sustainable independent fuel retailing sector is vital for the UK economy and energy resilience.”
 
 
 
ENDS
 
NOTES TO EDITORS:
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland. 
 

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Brian Madderson to continue his role as Chairman of the PRA

15/07/2015

Brian Madderson has agreed to continue his role as Chairman of the Petrol Retailers Association (PRA), following a meeting with PRA Executive Committee.
 
Madderson comments, “Since 2010, the PRA has retained 90% of the top 50 independent petrol retailers in membership, with sites totalling over 3,000. Regional committees have been established in both Northern Ireland and Scotland, and we have formed positive relations with key government officials and politicians in all four home countries.
“I look forward to recruiting more independent petrol retailers across the UK in the months ahead, and continuing to work closely with my colleagues in growing the PRA.”
 
In addition, Madderson will also continue his role as an Executive Board Director at the Retail Motor Industry Federation (RMI) for a further three years.
 
 
ENDS
 
NOTES TO EDITORS:
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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RMI appoints new Finance Director

09/07/2015

The RMI is pleased to announce the appointment of a new RMI Finance Director. Chris Thomas will join the RMI on the 1 October 2015. He previously worked as Finance Director for the Institute of the Motor Industry (IMI). 
 
The Retail Motor Industry Federation (RMI) is the UK's leading automotive trade body, representing franchised car and commercial vehicle dealers, independent garages, bodyshops, motorcycle dealers, petrol retailers, auction houses and cherished number plate dealers, who provide sales and services to motorists and businesses across the UK.
 
The RMI is the voice of thousands of retail motor businesses, large, medium and small,
  • A major opinion former and influence in motor trade matters since 1913
  • A beacon of quality, focused on raising standards throughout the industry
  • A guide and support for members, delivering help and promoting best practice
  • A powerful advocate for the retail motor trade, lobbying Westminster, Brussels, manufacturers, oil companies and related industries and associations
  • An industry-wide organisation, yet with highly specialised expertise for franchised dealers, petrol forecourts, auction houses, motorcycle retailers, bodyshops, MOT testing stations, cherished number dealers and independent garages
  • A source of help and advice on customer or employee problems, legal issues, compliance, business consultancy, trading standards
  • A tough negotiator that creates exclusive deals for members in finance, insurance, warranties, energy, tools, oils, IT and more
 

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PRA Budget Comment - Fuel Duty Freeze

08/07/2015

The Petrol Retailers’ Association welcomes the Chancellors announcement in today’s budget to freeze fuel duty.
 
Brian Madderson, Chairman of the Petrol Retailers Association comments, “The PRA has been lobbying Government and the Treasury on the subject of fuel duty, so it is good news to hear the Chancellor’s announcement.
 
“However, the PRA feels disappointed that the Chancellor has ignored both ours and many other motoring organisations pleas to cut duty by at least 2ppl. This would be a positive move which would boost the economy and improve household expenditure.
 
“While oil prices are expected to stay low, the oil market is notoriously hard to predict so there is always the chance that fuel prices will be considerably higher by the time of the Budget in March 2016 and any increase in duty would therefore have a negative effect on the economy.”
 
 
ENDS
 
NOTES TO EDITORS:
 
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422 
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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Response From Minister About PRA's Petrol Theft Concerns

30/06/2015

Further to the Press Release from the 4th June 2015 on Petrol Forecourt Crime and PRA chairman Brian Madderson's letter to Rt Hon Mike Penning, the Minister confirms that the Home Office “Tackling Crime Unit” project on forecourt crime is to be re-established by the new Government.
 
The Minister invites PRA chairman Brian Madderson to a personal meeting to discuss crime issues facing independent petrol retailers.
 
For more information and to download the letter please login to the members section

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PRA encouraged by HMRC consultation on vapour recovery scheme

26/06/2015

“It is positive to see that following continued persistence from the Petrol Retailers Association (PRA), HM Revenue & Customs (HMRC) has published a consultation document on 17 June regarding the reimbursement of duty on petrol subject to vapour recovery”, comments Brian Madderson, PRA Chairman.
 
This is an issue raised by their Technical Sub-Committee which the PRA has been trying to resolve for many years, because it was clear that the scheme had no legal basis and causes substantive loss to independent retailers.
 
Madderson continues, “The lack of any legal basis for the vapour recovery reimbursement scheme and the damage caused to petrol retailers has been brought to the attention of successive Treasury ministers and to the Chief Executive of HMRC by the PRA. 
 
“With this consultation, HMRC has finally acknowledged the problems inherent in the scheme from its inception over twenty years ago. It is now consulting with interested industry groups as to whether and/or how to implement a legal mechanism to deal with duty on petrol subject to vapour recovery. 
 
“It also highlights the deficiencies of the present delivery system, where retailers are always likely to be short delivered in their petrol loads, because heavily saturated vapour is captured as part of the process. The supplier always has the benefit of the captured product to sell again and at Duty Point Terminals, it gets the duty back from HMRC too.
 
“The PRA will evaluate the Consultation document and consider what should be done to correct the current situation, so that retailers are no longer disadvantaged.”
 
 
ENDS
 
NOTES TO EDITORS:
Rupal Rawal, Press Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
 

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Business rates review – PRA Submission to the Government

12/06/2015

The PRA submitted a document to the Government consultation under Terms of Reference dated March 2015.

This highlighted the pressures Retailers face, key recommendations for business rates and how the Government could support our industry.

The full document is contained in the Members Login area

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PRA Alarmed At Police Comments On Petrol Theft

04/06/2015

The Petrol Retailers Association (PRA) has raised their concerns following news that a UK police force has declared that driving away from a petrol station without paying for fuel is no longer considered a crime.

 

Devon and Cornwall Police said it would not investigate such incidents unless there was obvious proof of criminal intent - such as false number plates, and the force has blamed government cuts for the decision.

 

Brian Madderson, PRA Chairman comments, “We are alarmed by the growing rate of petrol theft over the last 5 years. Incidents of bilking have risen due to pump prices going up steeply, and now that police are broadcasting this as a low priority, this will no doubt encourage thieves further.

 

“Forecourts are being urged to be proactive and toughen up their security, however smaller independent garages who don’t have the financial resources will still largely be at risk. Petrol retailers are paying high business rates, part of which contributes towards spending in the police force, and so for the police to put sole responsibility of fuel theft on the garage is both unfair and irresponsible.

 

“The PRA has written to The Rt Hon Mike Penning MP informing him of our concerns surrounding this issue and we have requested an immediate meeting to discuss the seriousness of this growing problem amongst police authorities.” The letter is available for PRA members to read or download from the RMI members site.

 

PRA member Clive Sheppard of Bodmin Moor Services has also stated that, “This new initiative seems very ill considered, undermines the credibility of the Police and ultimately puts the public at risk as we are seemingly being encouraged to tackle crime ourselves.”

ENDS

 

NOTES TO EDITORS:

 

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
Web: www.rmif.co.uk Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

 

Read more

Letter To Chancellor In Response To Summer Budgets

04/06/2015

Please click here to download the letter by Brian Madderson, Chairman of the Petrol Retailers Association, to the Chancellor Rt Hon George Osborne MP to draw attention to the issues concerning independent retail petrol sites located throughout the UK, in the light of the forthcoming Summer Budget on 8th July.  

Read more

Fuel Duty Rebate Expands From 1 June

01/06/2015

A further 17 post code areas become eligible for 5ppl duty rebate on retail road fuels from Monday 1 June as Phase 2 of this enterprising Treasury scheme commences.
 
Brian Madderson, Chairman of the Petrol Retailers Association, said “the PRA has been closely engaged with Helen Dickinson, Deputy Director of Fuel & Environmental Tax and her team at HM Treasury since the original scheme was mooted. With nearly 1,000 independent forecourt retailers closing across the UK since 2009, we regard this scheme as a potential lifeline for small filling stations and their customers. Most will be located in challenged rural communities.”
 
For the first time, the scheme becomes applicable not only to Scottish islands but also certain mainland areas in Scotland and England.  There are just 3 post code areas in England involving North Devon, Cumbria and Northumberland with the addition of a single town at Hawes in Wensleydale.
 
Brian continued, “Dalehead Garage in Hawes is a Gulf brand dealer and PRA member who I visited last week. I was left in no doubt that without the 5ppl duty rebate, the owner was not going to survive as he was locked in a downward spiral of reducing volumes and higher pricing to sustain a margin. With more competitive pricing he is convinced that local farmers, businesses and residents will all try to use his services.
 
“I will now be raising with HM Treasury our support for a Phase 3 which would involve more rural fillings stations across the UK to build on the scheme’s obvious success.” 
 
ENDS
 
NOTES TO EDITORS:
Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

Duty Deferment with EPSS

23/04/2015

You will recall from previous newsletters, articles in Forecourt Trader and discussions at PRA events that we were hopeful of obtaining retail road fuels on a “Duty Deferred” basis using the Excise Payment Security Scheme (EPSS) which was introduced by the Labour Government in 2007.

During late 2013 and early 2014 several retailers applied for approval under EPSS, were vetted by HMRC officials and without exception were accepted onto the Scheme. However, these retailers also needed to apply for a Deferment Account Number (DAN) – Oil Products, only to find that HMRC laid down some onerous and questionable extra conditions. Specifically, HMRC wanted written evidence of the supplying terminals, volume of product to be uplifted and confirmation that suppliers were willing to enter into an agreement to supply on a duty deferred basis.

One of the retailers has challenged HMRC by appealing these conditions to the First Tier Tax Tribunal and the Hearing will take place on Friday 1st May.  The Appellant’s claim has been prepared by Alan Powell Associates and Alan will lead the challenge with Brian Madderson, Chairman of Petrol Retailers Association, being called to give evidence to the Tribunal.
 

Read more

Independent forecourts provide exceptional service to diesel fleets

16/04/2015

“More than 70% of the specialist hi-speed offset diesel refuelling facilities are provided by the independent retailing sector (Experian Catalist), so ensuring that our fleets of buses, trucks, vans and cars are well catered for across the UK”, commented Brian Madderson, Chairman of the Petrol Retailers Association (PRA).

“However the diesel fleet market is dominated by the use of agency, bunker and oil company fuel cards which has driven margins to as low as 0.70ppl.  Thus an HGV filling with 300 litres of diesel at around £350 sales value can provide the owner with little more than £2 to help pay for the costs of running and maintaining a complex technical installation.  This would not be financially sustainable without realising higher margins from other fuel trades.

“In some cases, discounted diesel can be as much as 60% of the entire business of an independent retailer and we don’t have the benefit like big supermarkets of being able to cross-subsidise our fuel sales with high margin grocery sales

“In fact, nearly 900 independent petrol retailers closed for business in the five years up to 2014 (Experian Catalist) which just confirms how close to the edge many are operating.

“We reach out to the motoring organisations to better understand the structure of the UK fuels market and help the smaller retailers survive in an increasingly competitive market otherwise the spectre of ‘rural fuel deserts’ becomes an ever closer reality.”


ENDS

NOTES TO EDITORS:
Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk Email: rupal.rawal@rmif.co.uk
 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA responds to RAC statement

24/03/2015

“The PRA is encouraged by the volume increase in February -  which shows that there has been an overall improvement in the economy, and that motorists are taking advantage of much lower pump prices (approx. 20ppl lower) than in March 2014”. comments Brian Madderson, Chairman of the Petrol Retailers Association (PRA).
 

Following statements from the RAC suggesting that businesses are “being taken for a ride by the fuel retailers”, and that “the prevailing view is that businesses are less price sensitive than consumers”, the PRA believes these comments fail to acknowledge the increasing impact of fuel cards. These fuel cards which are used by a significant number of businesses highlights the alarming lack of research by some motoring organisations. Transactions made on fuel cards in the UK will mainly be diesel due to the tax incentives. The total UK fuel card market is now worth over 8 billion litres per annum.
 

HGV’s and other business vehicles that utilize some form of bunker card will be purchasing fuel not at pump prices, but typically at prices based on a Platts related weekly lagged rate, plus a small handling fee for the retailer - often less than 1ppl.  Experian Catalist has advised that over 70% of hi-speed offset diesel pump facilities for HGV’s, large vans and buses are located on independent forecourts. Most of this traffic will be purchasing with fuel cards.
 

Many LCV’s and company cars will be also be utilizing a fuel card based on Platts related pricing.  One major oil company recently confirmed to the PRA that the vast majority of their card customers now purchase fuel on a Platts related basis (not at full pump price).
 

Madderson continued, “Due to the way that fuel cards work, the majority of transactions are re-purchased at an agreed rate and the retailer then receives a ‘card commission’ for that transaction. Rates for fuel cards have not significantly changed since the schemes started some 25-30 years ago, and the margin returns back to the retailer for the fuel transaction are minimal.
 

“Therefore the independent retailer often selling up to 4 grades of road fuel, has to obtain a financially acceptable average margin to ensure that the business is producing sustainable returns.
 

“Currently the margin available on petrol is extremely low - and so higher margins may be taken on diesel after adjusting for the severe margin depressing effect of fuel cards to the independent retailer sector.”

 

ENDS
 

NOTES TO EDITORS:

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk


The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA welcomes Business Rates Review

18/03/2015

“Independent petrol retailers are struggling to survive as fuel prices and margins shrink, and so the PRA welcomes the Government’s pledge in the 2015 Budget to overhaul both the level and methodology applying to business rates”, comments Brian Madderson, Chairman of the Petrol Retailers Association (PRA).

 

Over 35% of these retailers have now developed symbol brand convenience stores on their forecourts to provide an income stream which supports low margin fuel (70% of the pump price is Government tax).

 

However, the current methodology employed by the Valuation Office Agency (VOA) is to assess forecourt stores for the ratable value on a turnover basis. In direct contrast their competition, local standalone convenience stores often owned by one of the “big four” supermarkets, is assessed on an area basis (ITSA).  Thus a forecourt may have up to 4 or 5 times the level of rates to pay for the same business activity.

 

Madderson continued, “This is clearly an unfair and anti-competitive tax regime which must be tackled by this promised overhaul.

 

“We have already noted that the Northern Ireland Assembly has discarded its previous rates methodology for their 2015 Revaluation Scheme being implemented by Land & Property Services (L&PS). The new scheme includes balancing the methodology for standalone and forecourt stores to ensure that the many small often family owned and operated filling stations pay rates on the same basis.

 

“This is exactly why we are asking for Government to investigate when the review commences and the PRA will respond to all consultations.”

 

ENDS

 

NOTES TO EDITORS:

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA joins the ATMIA in calling for Government to remove business rates on ATMS

18/03/2015

The Petrol Retailers Association (PRA), which represents Britain’s 5,400 independent petrol filling stations, has joined the ATM Industry Association (ATMIA) in calling for ATMs to be exempt from Business Rates.
 
Brian Madderson, Chairman of the PRA, sees business rates exemption as a crucial matter, "The economics of running petrol forecourts are very fragile. That is why thousands have closed in the last few years with Experian Catalist confirming 900 independents had to withdraw from the sector in just five years from 2009 to 2013. A sensible concession by Local Authorities in relation to business rates on ATMs can help secure both the future of the forecourt and of local banking services".
 
Petrol forecourts are already important hubs for communities throughout the UK.  Many now have excellent symbol brand convenience stores as well as fuel. Very often, these are the only shops serving the needs of the local residents, especially in more rural or isolated areas, situated away from towns and cities.
 
In many such areas, the last bank branch has already gone or is about to close. In these circumstances, a well- located petrol forecourt with a good convenience store can be the perfect site for an ATM.  Parking is usually off road and easy for local residents. It makes perfect sense for them to pick up their cash, while refuelling and buying their groceries.
 
The importance of petrol forecourts as sites for ATMs will increase as the latest generation of sophisticated ATMs appears, incorporating a range of new services.
 
The new features on ATMs are likely to include; electronic image deposit of cheques, cash deposit and recycling, internet banking (possibly including video connections with bank staff) and a number of other services. These ATMs will need to do everything a bank branch can do if they are to be acceptable substitutes for branches.
 
For this to become a reality, it is vital that no obstacles are put in the way of petrol forecourts having ATMs.  Two things are needed for this to work in practice:  flexibility from Local Authority Planning Committees and the removal of Business Rates on ATMs.
 
Ron Delnevo, European Director of the ATM Industry Association, believes the business rate issue must be resolved. "There is no good in Local Authorities trying to cash in on attempts to replace the bank branches their local communities have lost. Sensible authorities, focused on the needs of their local residents for financial inclusion, will waive business rates to make the provision of new ATM-based banking services viable" said Delnevo.
 
The PRA and the ATMIA are united in calling for local authorities to ensure that ATMs at petrol forecourts are exempt from Business Rates.
 
 
ENDS
 
NOTES TO EDITORS:
 
Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
 
 
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.   

Read more

£1/Litre - Mirage or Reality? Asks the PRA

03/02/2015

“The wholesale cost of unleaded petrol has risen by nearly 3.50ppl since the 26 January, which will inevitably stall further falls in pump prices”, comments Brian Madderson, Chairman of the Petrol Retailers Association (PRA).

 

Energy Minister Amber Rudd was just last week raising the prospect of petrol costing less than £1.00/litre ahead of the general election as crude prices continued to fall. However from alow point of $45/barrel for Brent Crude in mid-January, there has been a significant rally back to $54/barrel this week.

 

Madderson continues, ”the PRA has always felt that crude oil needed to drop to $40/barrel or below for a sustained period for petrol to consistently be priced at below 100ppl across the UK andaverages today remain stubbornly above 106ppl. With this rebound in wholesale costs, we are going to see pump prices heading north again fairly soon.

 

“The current market is unsteady and predictions can quickly be overturned by events. We are questioning what short term impact will the strike by refinery workers in the US have on European wholesale costs, and will the changing regime in Saudi Arabia affect their draconian pricing policy for crude oil?

 

“There is growing sentiment in the city that the bottom of the crude oil market may have been reached and the rebound has now commenced”.

 

ENDS

 

NOTES TO EDITORS:

 

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formalassociation with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA responds to government announcement on standardised packaging to tobacco

23/01/2015

“Following the government’s announcement that standardised packaging will be introduced before the General Election in May, the PRA remains concerned about the negative impact this will have on the independent forecourt sector”, commented Brian Madderson, Chairman of the Petrol Retailers Association (PRA).

 

Data from Experian Catalist provides evidence that the industry is already struggling under heavy regulations. 15% (886) of dealer sites in the UK closed between 2008 and 2013 – with an estimated 5759 jobs being lost as a result of these closures*.

 

The standardised packaging of tobacco products has had a serious impact on retailers in Australia with 70% of retailers negatively affected by standardised packaging, and 67% saying that the growth of the black market has had an impact on their business since standardised packaging was introduced. There is a real potential this could have an effect in the UK.

 

Madderson continued, “To announce this policy at an Adjournment Debate before responding to either the public consultation or the concerns raised by 11 EU Member States will have come as disappointing news to independent retailers. Especially as in December, the Government committed it would not make a decision on this policy until after the standstill period, which ends on 2 March 2015.”

 

ENDS

 

Notes for editors:

 

*The PRA job loss estimate is based on the loss of 6.5 jobs per site including owner/operator, cashiers, cleaners, book-keeping and administration positions.

 

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA urges treasury to share fuel tax windfall motorists

21/01/2015

“Following the Petrol Retailers Association’s (PRA) meeting with the Exchequer Secretary Priti Patel last week, the PRA continue to urge the Treasury to play their part in passing on the benefits of increasing fuel volumes, by immediately cutting fuel duty by 2ppl”, said Brian Madderson, Chairman of the PRA.

 

The PRA provided the Treasury with an analysis of Government data showing that the rapid fall in crude oil prices from mid 2014, together with an improving economy, had increased the overall volume of road fuels supplied by 1.6% to the end of September. If this trend continues, an extra £400m from excise duty would be produced compared to the same 12 months in 2013.

 

Madderson continued, “with more vehicles on the road after a record high of new car sales in 2014, lower crude oil costs continued to bring down prices even further, and with continuing economic growth, fuel volumes in 2015 could increase by over 2.0%  providing more windfall tax revenue.

 

“The Prime Minister and Chancellor have recently pressed oil companies and retailers to reduce fuel prices on the back of plunging crude costs as the “holy grail” of £1.00/litre becomes ever closer. However, at this level, it exposes the fact that 75% of the pump price is Government tax.

 

“Far from being damaging, such a cut would be tax neutral and further stimulate the economy and job prospects.”

 

ENDS

 

NOTES TO EDITORS:

 

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA welcomes announcement to cut rural fuel tax

15/01/2015

“The PRA welcomes the news that seventeen of the UK’s most rural communities are a step closer to getting up to a 5p per litre fuel price cut. The government’s Rural Fuel Rebate scheme has today cleared the major hurdle gaining European Commission (EC) approval”, said Brian Madderson, Chairman of the Petrol Retailers Association.

 

Following today’s announcement from Danny Alexander, Chief Secretary to the Treasury, the scheme will allow 125,000 people living in the selected areas, to benefit from cheaper fuel. These areas currently face some of the highest fuel prices in the country despite depending on cars for transport.

 

The PRA has been liaising with the HM Treasury throughout this process and our members have praised our efforts on the back of today’s news.

 

“This is fantastic news for us and we thank the PRA for all their continued help and support”, said Ian Bown, proprietor of the Gulf branded Dalehead Garage in Hawes, Wensleydale.

 

Madderson continued, “The UK’s most rural islands already receive this discount, but this will be the first time ever that the Commission has approved a fuel discount on the mainland in the UK.”

 

With a view to implementing the scheme during the current Parliament, the government is pressing ahead with a formal consultation on the regulations necessary to implement the changes today.

 

ENDS

 

NOTES TO EDITORS:

 

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA urges chancellor to cut fuel duty now

08/01/2015

“This week the Chancellor of the Exchequer George Osborne, once again exhorted oil companies and retailers to pass on the full benefit of reducing crude oil prices to motorists and businesses”, said Brian Madderson, Chairman of the Petrol Retailers Association.

 

The wholesale cost of petrol has fallen by 7.4ppl since 1 December, but the average UK pump price for petrol as headlined by Experian Catalist, has dropped by 10.2ppl over the same time period. This is more akin to ‘rocket and stone’ pricing than ‘rocket and feather’.

 

Madderson continued, “With some petrol prices already at 105ppl, consumers should be told that the Government tax take is now over 70% of the pump price.

 

“Contrary to expert’s predictions of trend reductions in road fuel volumes due to factors such as dieselisation, more efficient engines and hybrid/electric vehicle development, last year fuel volumes showed a year-on-year increase of 1.5% - the first increase since 2008.

 

“This extra volume will produce an estimated windfall tax (excise duty at 57.95ppl) of more than £400M for 2014 – even more reason for the Chancellor to take immediate action and cut fuel duty by at least 2ppl, and ensure there are benefits to both the consumers and the economy.”

 

ENDS

 

NOTES TO EDITORS:

 

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA states consumers not the only winners from fuel price drop

18/12/2014

The latest fuel statistics issued today by the Department of Energy and Climate Change (DECC) have confirmed that due to an improving economy and falling wholesale prices, throughout the second half of this year, there has been a 1.6% year-on-year increase in retail and commercial fuel volumes in the last quarter.

 

Brian Madderson, Chairman of the Petrol Retailers Association, commented “petrol retailers have confirmed that there has been a steady improvement in traffic flow and spend through the year, so we are not surprised by the increase.

 

“The rapid drop in pump prices, which has been embraced by independent forecourt operators, is good news for motorists and businesses.. It is also good news for the Government who will benefit this calendar year by at least £700 million from the extra fuel duty on the increased volumes.”

 

Madderson continued “If this Government really wants to demonstrate that they support motorists and businesses, they could now afford to incorporate a cut in duty, within the April 2015 Budget.”

 

ENDS

 

NOTES TO EDITORS:

 

Katy Recina, Press Officer
Tel:      020 7307 3422
Mob:    07766022583

 

Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: katy.recina@rmi.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA raises concerns following comments from Danny Alexander

06/11/2014

The Petrol Retailers Association (PRA) has raised their concerns following comments that the industry will be warned for the first time by the Treasury to pass on price cuts to motorists.

 

Chief Secretary to the Treasury Danny Alexander has vowed to write to all main fuel suppliers and distributors for “assurance” that they will pass on the benefits of falling crude oil prices to consumers “as quickly as possible”.

 

Brian Madderson, Chairman of the PRA comments, “The PRA has been trying for weeks to get a meeting with a Treasury Minister to discuss the whole issue and they have failed to agree to a meeting so therefore to criticise the industry without speaking to us is grossly unfair.

 

“The Competition and Markets Authority (CMA) recently looked at the industry and made no comments on prices, and an investigation from the Office of Fair Trading found that there was very little evidence to suggest that petrol and diesel prices rise quickly when oil prices go up, but are slow to fall when prices drop.

 

“The Government should be pressing the EU Competition Commission to complete their investigation of possible oil price fixing, which they commenced in August 2013.

 

“In the past five years, 900* independent petrol retailers across the UK have closed due to economic reasons, and we are deeply concerned that over 80 pence of every litre purchased goes to Government fuel tax and VAT.  Fuel duty in the UK is already amongst the highest in Europe and the Treasury should be looking at ways of further reducing this tax burden on motorists and businesses.”

 

ENDS

 

NOTES TO EDITORS: *Survey conducted by Experian Catalist for the PRA conducted in the second quarter of 2014.

 

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA urges chancellor to reaffirm fuel duty freeze

17/10/2014

Brian Madderson, Chairman of the Petrol Retailers Association (PRA) has today written to George Osborne, Chancellor of the Exchequer, asking him to reaffirm his promise to freeze fuel duty until May 2015.

 

Madderson explained, “as global crude oil prices and the UK pound continue to fall, the threat of the Government reverting to the fair fuel stabiliser is a growing concern for businesses and the public.”

 

The unexpected crash of global crude oil prices over recent weeks has pushed Brent Crude Oil below $85 per barrel and analysts fear there could be further falls in the weeks ahead reaching as low as $75 per barrel.

 

Madderson’s concerns were heightened by Business Secretary, Vince Cable, who announced during the Liberal Democrat Party Conference that he felt the pound was still overvalued by 10 to 15%.

 

Madderson continued, “this will drive the pound down towards $1.35, closing in on the stabiliser “trigger” which is set at £45 per barrel. As the climate continues to be uncertain, the PRA is requesting the Chancellor re-commit to his promise and ensure fuel duty does not increase during the rest of this Parliament, remaining at 57.95ppl.”

 

ENDS

 

NOTES TO EDITORS:

1.     Fuel excise duty was reduced from 58.95ppl by 1.00ppl on 26/3/1.1

2.     The “escalator” mechanism was stopped in the same year.

3.     All subsequent proposals to increase duty were cancelled or deferred and then cancelled.

4.     As average pump prices have reduced by c.20ppl since April 2012, the proportion of tax (Duty + VAT) has increased towards 65%.

 

Katy Recina, Press Officer
Tel:     020 7307 3422
Mob:   07766022583
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406
Web: www.rmif.co.uk  Email: katy.recina@rmi.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

Scottish motorists also to be hit by weakening pound

04/09/2014

“In recent days the pound has suffered its worst exchange rate performance against US dollar since Lehman’s problems triggered the global financial collapse in 2008.  From a high of over $1.71in mid-August the pound has weakened to below $1.65 and this has held up UK wholesale prices of retail road fuel by nearly 2.00ppl”, said Brian Madderson, Chairman of the Petrol Retailers Association

 

Now currency specialists in the city, such as Goldman Sachs, are forecasting that the pound could devalue by at least a further 5% or more if a ‘YES’ vote succeeds in the Scottish Referendum on 18 September.  This would immediately increase the cost of road fuel by as much as 3.00ppl assuming that the global market for crude oil remains stable. However this is by no means certain given the current geo-political tensions in Ukraine, Syria, Iraq and Libya.

 

Madderson continued, “Experian Catalist data shows that total retail fuel volumes in Scotland are 3.1bn/litres/year so any run on the pound caused by the Referendum could costs motorists and businesses north of the border at least an extra £155m a year. For the rest of the UK the extra cost would approach a massive £1.75bn each year which would be a huge negative drag on the economy and significantly increase inflation.

 

“The road fuel volume split by sector in Scotland reflects the extraordinary and unchecked increase in supermarket forecourt development – up by a staggering 90% since 2000 which compares with 20% for the remainder of the UK.  This is almost certainly the major cause for so many small and often rural independent forecourts closing down their pumps leaving huge swathes of the country without refuelling facilities. This has to be an urgent issue for any Scottish Government to resolve”.

 

ENDS

 

NOTES TO EDITORS:

 

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

Read more

PRA welcomes news of MFG acquisition

12/08/2014

The Petrol Retailers Association (PRA) has welcomed the news that Murco has signed a deal to sell its retail business, including 228 service stations it owns to forecourt operator and PRA member Motor Fuel Group (MFG)

 

Brian Madderson, Chairman of the PRA appeared on BBC TV Wales last night commenting on the latest developments, “The agreement between MFG and Murco provides much certainty in the UK forecourt sector.

 

“These service stations have been on the market for a while now and the acquisition of Murco will firmly anchor MFG in the top 5 UK Independent fuel retail groups and brings with it a significant dealer network too.

 

“We at the PRA look forward to continuing to support MFG and their newly-enlarged network of sites.”

 

ENDS

 

NOTES TO EDITORS:

 

Brian Madderson is available for interview. Please contact the press office.

 

The Petrol Retailers Association represents some 5,500 independent forecourts which is 60% of the total UK market. A trade association committed to helping members run their businesses legally and profitably adapting to new challenges in the market place.

 

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

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Retailers join MP's fight to oppose plain packaging

02/05/2014

The Petrol Retailers Association has joined Priti Patel MP in her campaign to oppose the UK Government’s plans for plain packaging for tobacco products, a policy which is already opposed by over 70 per cent of retailers. Priti Patel has warned that introducing plain packaging will have a range of unintended consequences, such as increasing the illicit tobacco trade, which would hit legitimate retailers hard.

 

PRA members are answering Priti Patel’s call to contact their MPs and explain how plain packaging will affect their businesses. So far, around fifty MPs have already signed a House of Commons motion opposing plain packaging and a considerable backbench revolt is expected on the issue.

 

Brian Madderson, Chairman of the PRA, said, “We stand shoulder to shoulder with Priti Patel in her campaign to oppose plain packaging and defend the interests of small retailers. Over 80 per cent of retailers believe that implementing plain packs would go against the Government’s pledge to help small business.

 

“Small retailers are facing the cost of introducing the point of sale display ban next year, so it is wrong that the government might now adopt plain packaging when there is not a shred of evidence that it would reduce smoking rates.

 

“We have seen in Australia that small retailers have suffered as a result of standardised packaging, losing business to larger stores and illegal trading stands. Indeed, levels of both legal and illegal tobacco have increased after years of decline. Plain packaging has done nothing to reduce child or adult smoking rates. Based on this evidence, if the UK Government proceeds with plain packaging it would be nothing more than gesture politics.

 

“We urge other MPs to look at the facts on plain packaging, join with Priti Patel, and consider the negative impact this policy would have on retailers without delivering any reduction in smoking rates.”

 

ENDS

 

NOTES TO EDITORS:

  • In a letter published in Asian Trader's 25 April issue, Ms Patel accused ministers of wishing to “steamroll stricter tobacco controls and plain packaging through with no further debate or consideration, under the pretence that this will in some way prevent young people from taking up smoking.” http://www.asiantrader.biz/industry-news/Tories+rebel+over+plain+packaging/1802
  • The Petrol Retailers Association represents some 5,300 independent filling stations across the UK which is more than 60% of the total. The trade association is committed to helping its members run their businesses legally and profitably adapting to new challenges in the market place.
  •  The PRA member survey was undertaken by Populus and funded by Philip Morris Limited. The results are derived from a telephone survey conducted from 5 – 13 March 2014 among PRA members and involved a total of 400 interviews.  The poll showed:
    • 73%of retailers said plain packaging would hurt their businesses, up from 65% last year
    • 90% believe direct tobacco sales are important to their bottom line, up 11-points from last year
    • 84% of retailers say implementing plain packs would go against the Government’s pledge to help small business
    • 79% believe it would cause people to turn to the black market, where they can access cheap, branded packs
    • Nine in ten people (89%) say it would make counterfeiting easier
  • According to Experian Catalyst data, tough economic times have hit small retailers hard with nearly 1000 independent petrol filling station dealers across the UK having closed since 2009 – nearly 200 a year.

 

Brian Madderson is available for interview.

 

Rupal Rawal, Communications Officer

 

Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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PRA urges Government not to rush ahead with plain packaging before properly reviewing all evidence

03/04/2014

The Petrol Retailers Association has expressed concern that the Government is seeking to move ahead with draft regulations at the same time as carrying out a further consultation. The Government needs to take a full and proper look at all the implications of this policy, before making a decision on standardised packaging of tobacco products.

 

The announcement by Health Minister, Jane Ellison, follows the publication of a review led by Sir Cyril Chantler into the health benefits of such a proposal.

 

Brian Madderson, Chairman of the PRA said, “While it is a sensible step for the UK Government to further consult on the wider impacts of this policy, I am concerned that the Government are seeking to move quickly ahead with draft regulations. Plain packaging is a policy which has very unclear benefits yet a whole host of unintended consequences associated with it. The results from Australia have shown that plain packs increase the illicit tobacco trade, which is already rife across the UK, harm retailers and does nothing to reduce smoking.

 

“The PRA were pleased to receive a recent letter from Michael Fallon, Business Minster which sets out a holistic and pragmatic approach toward tobacco policy. The Minister stated that ‘The Coalition Government has taken some very positive actions intended to reduce smoking rates, particularly amongst children and young people. It is important that any further steps that the Government takes add value over and above the impact of the measures that we are already taking’. With the point of sale display ban coming into force next year for small shops, and the tobacco products directive the year after, it would be absurd for the UK and Scottish Governments not to follow the advice of the business secretary – they need to take the time to review this policy over and above those measures already being implemented."

 

A recent poll of PRA members highlights just how concerned the independent retail trade are about plain packaging:

  • 73%of retailers said plain packaging would hurt their businesses, up from 65% last year
  • 90% believe direct tobacco sales are important to their bottom line, up 11-points from last year
  • 84% of retailers say implementing plain packs would go against the Government’s pledge to help small business
  • 79% believe it would cause people to turn to the black market, where they can access cheap, branded packs
  • Nine in ten people (89%) say it would make counterfeiting easier

 

According to Experian Catalyst data, tough economic times have hit small retailers hard with nearly 1000 independent petrol filling station dealers across the UK having closed since 2009 – nearly 200 a year.

 

Brian Madderson concluded, “The Government must undertake a proper consultation on this issue absorbing ALL the evidence emerging from Australia of the unintended consequences. Chantler himself accepts that the evidence from Australia is ‘modest and has limitations’. Petrol forecourts across the UK are already seriously suffering and this policy could tip them over the edge".

 

ENDS

 

Notes for editors:

 

The Petrol Retailers Association represents some 5,300 independent filling stations across the UK which is more than 60% of the total. The trade association is committed to helping its members run their businesses legally and profitably adapting to new challenges in the market place.

 

The PRA member survey was undertaken by Populus and funded by Philip Morris Limited. The results are derived from a telephone survey conducted from 5 – 13 March 2014 among PRA members and involved a total of 400 interviews.

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Opposition to plain packs hardens as evidence shows retailers pay the price

26/03/2014

Retailers are increasingly opposed to Government proposals to introduce plain packaging of tobacco products in the wake of evidence from Australia, a poll reveals today.

 

In the week that an independent review into plain packaging is due to report, the Populus poll undertaken for the Petrol Retailers Association reveals that:

  • 73%of retailers say plain packaging would hurt their businesses, up from 65% last year
  • 90% believe direct tobacco sales are important to their bottom line, up 11-points from last year
  • 79% believe it would cause people to turn to the black market, where they can access cheap, branded packs
  • Nine in ten people (89%) say it would make counterfeiting easier

 

In a sign of the growing pressure on government to abandon consideration of plain packaging, 84 per cent of retailers surveyed said that implementing plain packs would go against the Government’s pledge to help small business.

 

Brian Madderson, Chairman of the PRA, said: “Retailers already feel abandoned by a government that promised to help business but has instead unleashed a blizzard of new regulations, leaving them to foot the bill.

 

“Small retailers are facing the cost of introducing the point of sale display ban next year, so it is absurd that the government might now adopt plain packaging when there is not a shred of evidence that it would reduce smoking rates.

 

“The more retailers hear about the impact of plain packaging in Australia, which is the only country to experiment with the measure, the more opposed they are to seeing it introduced in the UK. Retailers are unanimous in their belief that the Government should fully evaluate the Australian experiment before implementing plain packaging here.”

 

The concerns expressed by retailers in the UK have been reinforced by the experience of retailers in Australia, the only country to experiment with plain packaging.

 

According to the Australasian Association of Convenience Stores (AACS), 70% of retailers have been negatively affected by plain packaging, with 67% saying that the growth of the black market has had an impact on their business since plain packaging was introduced.

 

These findings, shared with the Petrol Retailers Association, were part of a report entitled The Impact of Plain Packaging on Australian Small Retailers, which was conducted by leading international research company Roy Morgan.

 

AACS CEO Jeff Rogut said: “We would urge the UK not to make the same mistake as Australia by adopting plain packaging. The spike in costs to retailers from plain packaging, combined with a booming illegal trade is having a dramatic effect, with retailers being forced to absorb additional costs at the same time as losing customers to the black market.”

 

In Australia, legitimate retailers are losing business to illegal sales of branded illicit packs at a fraction of the cost of legal plain packs. This was highlighted by the media in Australia last year.

 

The surge in illicit trade has been so big that illegal brand 'Manchester' is now outselling legal brands such as Camel. In some cases, retailers are losing up to AUS $15,000 a week to the black market, whilst the Australian Treasury lost AUS$1.1billionto the illicit trade in cigarettes last year.

 

Madderson concluded, “The experiences of retailers in Australia serve to reinforce the need for a thorough impact assessment before this policy goes any further and this must include a full evaluation of Australia’s experiment with plain packs.”

 

ENDS

 

Notes for editors:

 

The Petrol Retailers Association represents some 5,300 independent filling stations across the UK which is more than 60% of the total. The trade association is committed to helping its members run their businesses legally and profitably adapting to new challenges in the market place.

 

The PRA member survey was undertaken by Populus and funded by Philip Morris Limited. The results are derived from a telephone survey conducted from 5 – 13 March 2014 among PRA members and involved a total of 400 interviews.

 

The data on the impact of plain packaging on Australian retailers was undertaken by Roy Morgan Research and released by the Australasian Association of Convenience Stores – ‘The Impact of Plain Packaging on Small Retailers’.

 

Please click here for a full report

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PRA budget comment

19/03/2014

The Petrol Retailers’ Association (PRA) represents 5,500 independent forecourt retailers.

 

PRA Budget Comment

 

Brian Madderson, PRA Chairman

 

FUEL DUTY FREEZE

 

The Petrol Retailers’ Association welcomes the Government’s confirmation of the measure outlined in the Autumn Statement, to cancel the 2 pence per litre fuel duty increase in September 2014. Today’s announcement marks the longest period of duty freeze (4 years, 4months), in over 40 years.

 

Taking into account the projection of RPI% in the first quarter of 2014, combined with the current 20% VAT rate, this action will save the motorist up to 3ppl.

 

Brian Madderson, Chairman of the Petrol Retailers Association comments, “The PRA has been lobbying Government and the Treasury on the subject of fuel duty, so it is good news to hear the Chancellor’s commitment.

 

“However, the level of overall fuel tax in the UK remains amongst the highest in the EU. Despite the 10ppl fall in average pump prices since March 2013, fuel tax still accounts for around 60% of the purchase.

 

“The UK is one of the few EU countries to tax diesel at the same level as petrol with negative impact on the business community and the increasing number of motorists with diesel engine cars.

 

“A significant unintended consequence of this policy introduced by the last Government is to encourage foreign hauliers to fit long range tanks and fill up in Luxembourg where tax is less than 40% of the purchase cost.

 

“The PRA has estimated that the Treasury is losing up to £1.5bn revenue each year. Perhaps more importantly, this huge tax differential also provides continental hauliers with a competitive advantage over domestic companies, which miss out on their traditional UK contracts and are forced to reduce jobs as a result.

 

“If Government really wants to help the UK economy grow and prosper, an overhaul of fuel taxation is urgently needed”.

 

ENDS

 

NOTES TO EDITORS:

 

Rupal Rawal, Communications Assistant

 

Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

 

Web: www.rmif.co.uk Email: rupal.rawal@rmif.co.uk

 

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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