Petrol Prices

John Bercow Excerpts

Wednesday 15th May 2013 Commons Chamber

[Robert Halfon (Harlow) (Con)]

Despite the fact that the Government have cut and frozen fuel duty, prices at the pump have gone up by 60% since 2009. Last year a motion for a full OFT inquiry into price fixing by oil companies was passed unanimously in the House. We were approached by a whistleblower who suggested that the things we have seen over the past two days had been going on. Does my right hon. Friend agree that the OFT carried out a limp-wristed, lettuce-like inquiry, when it should have made a full 18-month inquiry into what has been going on? Does he also agree that if proved true, this is a national scandal for the oil companies concerned, and the Government should look at changing the law and put people in prison for fixing oil prices? This has caused misery for millions of motorists up and down the country. Finally, if the accusations are proved, will he impose harsh penalties on all oil companies involved and give the billions of pounds in penalties back to the motorist?

[Mr Speaker]

I have been generous with the hon. Gentleman, which I hope the House will realise, but I cannot help but feel that his appetite would be satisfied only by a full day’s debate on the matter. He will have to make do with what he has had so far.

[Mr Davey]

I am grateful for my hon. Friend’s questions, and I pay tribute to the way he has campaigned on this issue. He has made a big impact in the House and we have reacted to his campaigns with respect to fuel duty—something the Labour party never did. The OFT is a strong, independent body. It has powers and carried out its investigation. It received a call for information and it is responding to that. It made some warnings. As my hon. Friend knows, it was concerned about a number of areas, not least the transparency of petrol and diesel prices at motorway service stations, which I referred to in my statement. I know that as a result of that, my hon. Friend—indeed, the whole House—will be concerned to ensure that any evidence is put before the European Commission and the UK competition authorities. If any Members of the House or members of the public have such information, I call on them to pass it to the competition authorities.

--- Later in debate ---

[Several hon. Members]

rose—

[Mr Speaker]

Order. I gently point out to the House that there is a lot of interest in this important statement, which I am keen to accommodate, but, in the final day of the debate on the Gracious Speech, there are literally dozens of colleagues wishing to contribute, so some self-discipline from Back and Front Benches alike is urgently required.

[David Mowat (Warrington South) (Con)]

The allegations are serious, and yet the EU energy portal told me this morning that the pre-tax and duty prices of diesel and petrol in the UK are among the cheapest in Europe—indeed, they are cheaper than in Germany, France and Holland. Given that, will the Secretary of State tell us whether the focus of the inquiry is the UK market or the cross-border European market, which, on the facts, would appear to have bigger problems?