Some fuel retailers are not passing on wholesale price reductions to consumers promptly, according to a warning from the UK's competition watchdog. The Competition and Markets Authority (CMA) has indicated that certain forecourts have been slow to adjust prices, even as wholesale diesel costs have fallen.
Between May and June, the CMA observed that some retailers did not immediately reflect decreases in wholesale diesel prices. This practice, which the watchdog previously flagged as a "passive pricing strategy," can contribute to maintaining high profit margins for retailers. While overall pump prices decreased in June, they remained significantly higher than pre-conflict levels, and retailer profit margins were at or above historic highs seen in 2025.
The CMA has sent over a thousand warning letters and compliance notices to retailers who have failed to register with the government's Fuel Finder price comparison service. This service, developed by the Department for Energy Security and Net Zero (DESNZ), aims to provide real-time fuel price data to third-party websites and apps, theoretically enabling drivers to find cheaper fuel.
Approximately 97% of petrol stations, accounting for about 99% of fuel sold in the UK, are now registered with the Fuel Finder scheme. The CMA has not yet imposed any fines but stated it will actively monitor the road fuel market and conduct a more detailed review in the autumn to ensure fair pricing.
Sarah Cardell, chief executive of the CMA, stated that the monitoring efforts are crucial to give drivers confidence that retailers are not exploiting the ongoing conflict in the Middle East. She added that the CMA expects wholesale price reductions to be rapidly and fully passed on to drivers, noting that Fuel Finder can assist drivers in saving money.
Industry groups have expressed concern over the findings. RAC head of policy Simon Williams noted the persistently high margins and lack of competition, and welcomed the CMA's closer examination of retailer pricing strategies. However, issues have been raised about the accuracy and reliability of the Fuel Finder scheme itself, with some reports suggesting data errors could potentially cost drivers money rather than save it.