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CMA finds no evidence of active price strategy changes by fuel retailers

The Competition and Markets Authority (CMA) has reported that lower wholesale prices led to a fall in pump prices in June, but remains concerned about sustained high margins due to passive pricing strategies.

  • The CMA found no evidence that retailers actively changed pricing strategies to exploit the Middle East conflict.
  • Lower wholesale prices resulted in falling pump prices in June, though they remain above pre-conflict levels.
  • The CMA is concerned about sustained high margins due to passive pricing strategies and will conduct a more detailed review in the autumn.

The Competition and Markets Authority (CMA) has released its latest road fuel monitoring report, detailing the impact of the Middle East conflict on fuel prices and margins until the end of June 2026. The report indicates that lower wholesale prices led to a decrease in pump prices in June, although prices are still significantly higher than before the conflict.

The CMA found no evidence that retailers actively altered their pricing strategies to capitalise on the crisis. However, the authority remains concerned that the continued use of passive pricing strategies by most retailers is contributing to sustained high margins. Analysis suggests some retailers did not immediately pass on reductions in wholesale diesel prices to drivers, which could have increased competitive pressure.

Sarah Cardell, Chief Executive of the CMA, stated that monitoring helps assure drivers that retailers are not exploiting the conflict. She added that the CMA expects any reductions in wholesale prices to be quickly and fully passed on to drivers.

The CMA will continue to monitor prices and conduct a more detailed review in the autumn. This upcoming report will further analyse retailers' pricing strategies, the timeliness of wholesale price changes reflected in retail prices, and reasons for local price variations, aiming to ensure fair prices for customers.

The Fuel Finder scheme, designed to increase competition by allowing drivers to compare prices, has seen significant progress. Approximately 97% of UK petrol stations are registered, accounting for an estimated 99% of fuel sold in the UK, with the majority updating price information weekly.

Why this matters: The CMA's findings highlight ongoing concerns about competition in the road fuel market and the impact of retailer pricing strategies on what drivers pay at the pump.

What this means for you: Drivers can use Fuel Finder to compare fuel prices and potentially save money, as 97% of UK petrol stations are registered and provide price updates.

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