FUEL companies have been accused of running a "local cartel" amid ongoing concern at unfair fuel prices affecting Dunfermline.

Local MP Graeme Downie again raised the issue in Westminster this week when he explained that residents in his constituency routinely pay 5p per litre more than drivers in Glenrothes, Kirkcaldy, Stirling and Glasgow and a massive 12p per litre more than people in Aberdeen.

Speaking in the House of Commons, he pointed to findings from the Competition and Markets Authority (CMA), which has warned weakened competition in the fuel sector is driving up costs for motorists.

In their reports, the CMA revealed that motorists were overcharged £900 million in 2022 and a further £1.6 billion in 2023—totalling £2.5 billion over two years during the cost-of-living crisis.

"These are staggering figures," Graeme stated. "In the midst of a cost-of-living crisis, it is indefensible that hardworking families and small businesses are paying the price for a broken fuel market.

"My constituency is just 20 miles from Scotland’s oil refinery in Grangemouth, yet residents in Dunfermline consistently pay a full 5p a litre more than those nearby in Glasgow, Stirling, Glenrothes or Kirkcaldy.

READ MORE: Dunfermline petrol prices: MP asks why city is more expensive

"That is despite the local supermarkets Tesco and Asda, as well as a host of other outlets in the city such as BP, all supposedly competing to be the driver’s choice.

"What we see in Dunfermline is a cluster of prices around the same level within the city, and price clustering around Dunfermline as well, with all supermarkets and suppliers at roughly the same price. That is not local competition; that is a local cartel."

During the debate, Mr Downie raised the case of constituent Aimee, a 20 year-old apprentice who spends nearly £200 monthly on fuel to commute to work, paying considerably more for the same amount of fuel than if she lived in another city.

"Over the course of a year, Aimee would have to work an additional 36 hours just to pay for the difference in price of petrol for her to get to and from work," he explained. "That is not justifiable.

"Aimee, who is learning while earning, is experiencing a real-terms pay cut differential due not to anything she has done, but to the effects of this broken market.

"Aimee’s story shows the real impact of unfair pricing. Her fuel costs are a direct hit to her earnings and affect her ability to save and invest in her future. This situation, caused entirely by greedy retailers, is unjustifiable."

Concluding his speech, Graeme urged fuel retailers to take immediate action to stabilise prices and reduce regional disparities.  

"There’s no reason for fuel retailers to wait. Our constituents need fair, consistent fuel prices now," he concluded.

READ MORE: Dunfermline driver calls out unfair fuel prices in city

"This government has made an excellent start, and I look forward to seeing further action to end this unjustified profiteering on the backs of hardworking families." 

Minister of State, Department for Energy Security and Net Zero, Sarah Jones MP, said the Government was committed to fixing the foundations of the economy, delivering change by protecting working people and rebuilding Britain.

"It cannot be the case that fuel retailers register record profits and do not pass on savings when the burden is being unduly felt by hard-working families and businesses," she said.

"For so many, vehicles are more than just a means of transport; they are a lifeline. They play an integral role in connecting working people, families, communities and businesses, especially in rural areas.

"In the case of young people, including Aimee, their car is a means to forge a career and earning meaningful, well-paid work.

"This Government are committed to delivering for drivers, but also providing a range of transport options to make it possible that people such as Aimee should not have to worry about how they get to work.

"That is why this Government made the decision at last week’s Budget to freeze fuel duty for a further year "We want to ensure that drivers can get a fair price for their fuel and that fuel retailers remain transparent and do not overcharge. We expect all fuel retailers to pass on any savings at the pump."