The price of fuel

[gregorach]

OK, I'll say it again - the government does not set the price of fuel! They do not "profit" from the current rise in fuel prices.

I mean, sure, I'm normally perfectly happy to curse them to hell and back - but only for things that they actually have something to do with. Blaming the government for the recent rise in fuel prices is about as reasonable as blaming them for the weather.

 

[Tony]

I'm confused then, I totally accept that the government isn't responsible for all the increase but I thought that in Oct duty on fuel went up by 2p, which is closer to 2.3 pence after tax, it's due to go up again in April and i early 2009.

I could be wrong it happens Also, doesn't the goverment have huge stakes in the north sea oil? with the strength of the pound and barrels being in $ I think it would be hard to say that they're getting no benifit from the increase in oil prices, i have read that it's a lot of benifit.

And the weather is their fault, I wanted sun this morning and they look after the country

As for me getting into politics.....could be interesting

 

[born2roam]

My boss made this an easy answer for me...

Since he is paying for the fuel anyway. I pay for the car from a taxpoint of view etc with a fixed monthly deduction on my wages (no matter how many km's I drive, business or non business related).

Even if I would have to pay myself (which I always did before I got this job), I would probably not going to let the price of fuel interfere with my hobbies that much...

Mind you, I do not know exactly how it is on the British Isles but in Holland you pay A LOT of taxes driving a car (buying one, you pay up to about 40-45% just on taxes alone!!), price of fuel...pffew another 50% tax (?)... and where does this money go to... not to those who actually use the roads etc.... sorry getting on a OT/political non bushcrafty rant here...

Grtz Johan

 

[Tourist]

You can see where the money goes when you hear that they are looking to spend £500,000,000.00 on the Olympic stadium............which will then be partly de-constructed after its use and then like the ones in Sydney and Athens never be used again.

Road Tax. Its not called Road Tax anymore and the money was never spent on roads only. It is now Vehicle Excise Duty, a tax that allows you to have a fully roadworthy car on a public road for 12 months, wether you drive it or not.

Fuel is only 10p a litre in Oman because they don't waste the money on stupid projects that only put money into the pockets of large companies that wine and dine politicians and civil servants........nuff said.

I live in the country and my fuel bill is around £100 a week, seriously thinking about offing to the USA next year.

 

[Heathenpeddler]

I can't drive, had to give it up for health reasons last year. I live in a town with no rail link. For me to get anywhere means a minimum of an hour on the bus just to get to a town with decent rail links not to mention the rail station is across the other side of town from where the bus goes so add on a long walk.

My employment opportunities are limitied to those in my town, which is why I'm now stacking shelves at the local Wilco's. I have never been on a real bushcraft trip - can't afford to in either travel time or money!

I can see my situation becoming the norm for many on low incomes. Either they will bancrupt themselves trying to maintain the car or they will be stuck in the position of not being able to afford to run the car and unable to get a decent job because they can't get to it. Even if I was allowed to drive I couldn't afford to now.

 

[gregorach]

I'm confused then, I totally accept that the government isn't responsible for all the increase but I thought that in Oct duty on fuel went up by 2p, which is closer to 2.3 pence after tax, it's due to go up again in April and i early 2009.

Was there? OK, I may be slightly mistaken then... Although over the last few years, the rate of increase in fuel duty has been well below inflation, so in real terms it's gone down. Here's a good (although slightly out-of-date) short article on UK Petrol Prices. There's also a very good longer article on what drives retail fuel prices here - although it's mainly about US prices, the principles are the same.

I could be wrong it happens Also, doesn't the goverment have huge stakes in the north sea oil? with the strength of the pound and barrels being in $ I think it would be hard to say that they're getting no benifit from the increase in oil prices, i have read that it's a lot of benifit.

And the weather is their fault, I wanted sun this morning and they look after the country

As for me getting into politics.....could be interesting

Well, yes, it's entirely true that the govt secures significant revenues from taxation of oil production. But there is no direct relationship between North Sea oil extraction costs and the price of fuel at the pump in the UK. Crude oil is a fully fungible commodity - it is sold into an international market. It's absolutely not the case that oil produced from a Shell platform in the North Sea goes to a Shell refinery in the UK to be sold in a UK Shell station. What happens is that crude is sold on the international market, refiners buy on that international market and sell their products into another international market. Wholesalers buy refinery products from that market, and then sell on to retailers.

Primary oil production, refining, wholesaling and retail are entirely separate operations.

Also, while it's true that the dollar is falling, the price of oil is rising in all major currencies, as can be seen here.

In short, the price of petrol is going up because there just isn't enough of it in the world to satisfy demand. Just be glad we don't live in any of the many countries around the world (eg Nicaragua, Mexico, Nigeria, China, etc, etc) which are suffering actual shortages.

 

[gregorach]

Oh, and there's an update on that UK Petrol Prices article, including discussion of the 2p duty increase in October, here.

 

[Tony]

Good link, thanks Dunc.

My point wasn't that the oil is related to the fuel but rather that the goverment is making a lot more money out of oil at the moment than it expected. They also take 2/3 of the fuel pump costs, although that fluctuates as a % given the price of oil/barrel

Anyway, all that aside it's more expensive to get out into the countryside (or for some to get into town) which is a sad state, it amazes me how much people miss, even when they're so close...and yet so far away from fresh air and a bit of nature.

 

[gregorach]

Oh yeah, no argument there - I was just disputing the idea that the current run up in retail prices was government-driven.

 

[Tony]

Very fair point

 

[Chopper]

OK, I'll say it again - the government does not set the price of fuel! They do not "profit" from the current rise in fuel prices.

I mean, sure, I'm normally perfectly happy to curse them to hell and back - but only for things that they actually have something to do with. Blaming the government for the recent rise in fuel prices is about as reasonable as blaming them for the weather.

Hi Dunc,

Are you an MP ?????

If you are can we have warmer nights as it will help my Landy start in the mornings.

 

[gregorach]

How dare you accuse me of such a thing!?

 

[loz.]

I suggest revolution

Link to no fuel day

 

[Arth]

The goverment do cash in on increase on petrol it's called VAT 17.5% the more you pay at the pump you the more VAT you pay.

 

[Timinwales]

Right then...I am putting Tony forward for the PPC for the BBP :BlueTeamE

Sounds like a plan to me,.... so whats going in the manifesto???

Loz <searches out che guevara T shirt> If we cannot get Tony in it's got to be worth a try mate!!!

Cheers Tim

 

[rik_uk3]

£1.07, here as well...£0.58p per litre...Tesco's Supermarket...Cooking oil section.

Anyone notice the price of cooking oil going up?

 

[Chopper]

Anyone notice the price of cooking oil going up?

Its funny, my brother said this last night.

 

[Emma]

I've never used the car to get to countryside anyway - I find it very limiting, I've got to finish in the same place I started, at the car. I either use my feet or public transport, much more freedom that way.

 

[GreenmanBushcraft]

To a degree but in some remote areas I have been its already 1.15 and 1.20 per L.

Kris

 

[combatblade1]

Huh? Duty hasn't gone up recently (has it?), and the govt has nothing to do with setting the price of oil. It's this funny thing called a "market"... When demand exceeds supply, the price goes up.

Dont know what the cost of fuel where you are is but here its over £1.04 per litre. If the so called market is responsible how come south of ireland is so much cheaper £0.91 per litre? If its this demand why is it cheap one week and seriously expensive the next? Dont think the demand could go up that quickly. Still think the government has nothing to do with it,,think again .