Petrol retailers pull out of Reeves meeting over ‘abuse’ of staff
Petrol retailers have pulled out of a meeting with Chancellor Rachel Reeves, claiming the government’s warnings against “price gouging” have led to forecourt staff being abused.
The head of the Petrol Retailer’s Association (PRA) called off the meeting at late notice on Friday, after Reeves’ office allegedly refused to hold the tete-a-tete behind closed doors.
The feud between petrol sellers and the government heated up on Friday when energy secretary Ed Miliband issued a stern warning against price “rip-offs” which could see retailers use the war in Iran to justify hiking prices.
The Chancellor instructed the competition watchdog to crack down on any companies “exploiting the current situation to make excess profits at consumers’ expense”.
But the PRA has fiercely denied accusations of profiteering, and claimed the “inflammatory” language used by senior government figures “may have provoked” incidents of abuse of petrol garage staff which have been recorded in recent days.
Closed-door meeting ‘refused’
Gordon Balmer, the PRA’s executive director, said he asked Reeves’ office to move Friday’s planned meeting behind closed doors to allow bosses to explain to her “how the fuel market works” without the presence of journalists.
But, after the Chancellor’s aides could not provide this reassurance, Balmer withdrew from the meeting, he said.
He said: “Our members are working hard in difficult circumstances making sure that motorists and businesses are getting the fuel they need, at prices that are very competitive, on razor thin or in some cases negative margins which means they are losing money.
“There is clearly still a lot of work to do to help politicians and commentators to understand how the fuel market works and our door is always open for constructive dialogue.”
Oil prices climbed back above $100 per barrel on Thursday despite the International Energy Agency (IEA) saying on Wednesday that it would release a record 400 million barrels of oil in an attempt to curb the economic impact of the US-Israel war with Iran.
The rocketing price of oil, caused by the blockage of the Strait of Hormuz, a key global supply route, has caused widespread concern about the risk of inflation in the UK with pump prices already rising.
An analyst warned on Friday the oil crisis could push the UK into a recession, after it emerged the economy flatlined in February.
HM Treasury has been contacted for comment.