Rising fuel prices are creating challenges for both businesses and consumers, with the owner of a vehicle breakdown service in Jersey reporting that the increased costs have hit his business hard. Oliver du Feu said the rising prices had cost him between £9,000 and £11,000, largely due to the frequent need to fill up trucks that hold between 80 and 120 litres of diesel every two days. These costs have been on the rise since the outbreak of the United States' conflict with Iran in February, which has disrupted global oil markets. Du Feu suggested that reducing fuel duty by 30p to 50p per litre would help businesses manage the financial strain. However, he warned that prices may continue to increase, and he may have to raise his prices for customers to cover the extra costs.
A proposed reduction in fuel duty—currently at around 65p per litre—by 10p per litre between October and December was recently withdrawn. Jersey's treasury minister, Deputy Lucy Stephenson, explained that she had withdrawn her proposal after discussions with Treasury Minister Alan Maclean. Maclean stated that fuel duty cuts were a "blunt tool" that mainly benefited wealthier individuals. He emphasized that budget measures were still being developed and that it was "possible" people might feel concerned about a lack of immediate relief. Maclean acknowledged that prices have risen significantly over the past three years but noted that the rate of increase has slowed slightly, which he described as encouraging. He also warned that the first quarter of next year could bring the most pressure on consumers.
Carl Walker from the Jersey Consumer Council pointed out that the impact of rising fuel prices is not limited to drivers. He explained that nearly 97% of goods consumed in Jersey are imported, requiring fuel for transportation and delivery. This means that even people who don't drive are affected, as the increased costs eventually pass on to consumers in the form of higher prices for everyday items, such as milk. The council also noted that usage of its website, which compares fuel and food prices, has more than doubled since last year, showing growing public concern about the issue.
Jon Best, director of ATF Fuels in Jersey, highlighted that wholesale fuel prices have reached their highest level in four months. While the Channel Islands are geographically distant from the Middle East, they are still affected by global energy market fluctuations. Fuel is traded internationally, so disruptions in production, supply, or distribution anywhere in the world can directly influence local fuel costs. Meanwhile, in the UK, petrol and diesel prices are at their highest since 2022, and the government is expected to release a proposed budget by the end of September, with final discussions scheduled for December.
Fuel Price Increases Impact Businesses and Consumers in Jersey and UK
AI-rewritten from original reportingHow it works
fuel-pricesjerseycost-of-livingenergy-marketbusiness-costsglobal-economy



