Drivers nonetheless paying over the chances, says watchdog | EUROtoday

Drivers are paying extra for gas than they need to as a result of retailers’ revenue margins stay “stubbornly high”, the competitors watchdog has stated.

The Competition and Markets Authority (CMA) stated sellers’ margins – the distinction between what a retailer pays for its gas and what it sells at – remained larger than historic ranges, though gas costs have fallen since July.

It stated supermarkets’ margins had risen to eight.1% in August from 7% in April.

The CMA added the “sustained” improve was regarding and there was not sufficient competitors within the gas market, which continued to drive costs up.

Non-supermarket gas margins rose had risen to 10.2% in August from 7.8% in April, the watchdog stated.

“While gas costs have fallen since July, drivers are paying extra for gas than they need to be as they proceed to be squeezed by stubbornly excessive gas margins,” said Dan Turnbull, senior director of markets at the CMA.

“We due to this fact stay involved about weak competitors within the sector and the affect on pump costs,” he added, especially while costs of living remain high.

“The extra individuals save on gas, the extra they must spend in different areas”, he stated.