Cheapest places to buy fuel in the Black Country as drivers suffer from 'unfairly high' margins

The Competition and Markets Authority (CMA) must be given the power to take "meaningful action" against companies charging too much for petrol and diesel, according to a letter from the RAC to Energy Secretary Claire Coutinho.

The average retailer margin – the difference between the amount they pay for fuel and the pump price – has been above 18p per litre for diesel since May 7 and is nearly 12 pence per litre for petrol, RAC head of policy Simon Williams wrote.

The long-term average for both fuels is eight pence.

Margins have risen in recent days on the back of wholesale costs reducing due to a drop in oil prices.

The RAC believes if retailers charged "fairer" margins, the average price of a litre of petrol and diesel would be around £1.45, down from the current prices of £1.50 per litre for petrol and £1.57 per litre for diesel.

Mr Williams wrote: "The RAC recognises that retailers, along with all businesses, have been affected by high levels of inflation, but we feel that current margins are extremely unfair on drivers struggling to get by in the cost-of-living crisis.

"In addition, having tracked fuel prices against the Consumer Prices Index, we can see there is a clear link between the two, meaning unfairly high margins are making inflation higher than it should be."

He continued: "Even though there has never been more fuel price data publicly available, the issue of excessively high retailer margins persists.

"The RAC believes this will only be improved if the CMA as the price monitoring body is able to take meaningful action against retailers whose margins appear unreasonable when looked at alongside the price of wholesale fuel."

Fourteen of the biggest fuel retailers are voluntarily sharing daily price data through a CMA scheme.

The Government has proposed a mandatory Pump Watch fuel price transparency programme.

In the meantime, here are the cheapest places to fill up in Wolverhampton and surrounding areas:

Cheapest places for petrol

• Total Energies Blakenhall Service Station, Dudley Road, Wolverhampton (WV2 3JY) – 138.6p per litre

• Asda Jack Haywood Hay, Wolverhampton (WV1 4DE) – 140.7p per litre

• Sainsbury's Wolverhampton, Raglan Street (WV3 0ST) – 140.9p per litre

• Essar, Willenhall Service Station, Willenhall Road, Wolverhampton (WV1 2HJ) – 140.9p per litre

• Tesco, Penn Road, Wolverhampton (WV2 4NJ) – 141.9p per litre

• Morrisons, Market Street, Bilston (WV14 0DP) – 144.7p per litre

• Morrisons, Middle Piece Way, Willenhall (WV13 1QG) – 144.7p per litre

• Asda Tipton, Wednesbury Oak Road, Tipton (DY4 0BP) – 144.7p per litre

• Asda, Wolverhampton Road, Oldbury (B69 4QB) – 144.7p per litre

• Asda, Avon Road, Cannock (WS11 1LH) – 144.7p per litre

Cheapest places for diesel

• Total Energies Blakenhall Service Station, Dudley Road, Wolverhampton (WV2 3JY) – 146.6p per litre

• Asda Jack Haywood Hay, Wolverhampton (WV1 4DE) – 148.7p per litre

• Asda, Wolverhampton Road, Oldbury (B69 4QB) – 148.7p per litre

• Sainsbury's Wolverhampton, Raglan Street (WV3 0ST) – 148.9p per litre

• Sainsbury's, Freeth Street, Oldbury (B69 3DB) – 148.9p per litre

• Texaco, Westcross Service Station, Oldbury Road (B65 0QG) – 148.9p per litre

• Asda Queslett, Old Horns Crescent, Queslett (B43 7HA) – 149.7p per litre

• Esso, Cannock Road, Burntwood (WS7 0BQ) – 149.9p per litre

• Tesco, Penn Road, Wolverhampton (WV2 4NJ) – 149.9p per litre

• Essar, Willenhall Service Station, Willenhall Road, Wolverhampton (WV1 2HJ) – 149.9p per litre