§ 26. Mr. Walter Johnsonasked the Secretary of State for Prices and Consumer Protection what representations she has received from the oil companies concerning the price of petrol; and if she will make a statement.
§ Mrs. Shirley WilliamsNone, but I have had representations, which I am considering, from retailers' associations.
§ Mr. JohnsonIs my right hon. Friend aware that the stupid price and gimmick war goes on, and that it has now reached ridiculous proportions? Surely now is the time for her to tell the oil companies to regulate the price of petrol according to grade, and to stop these stupid gimmicks, which only increase the price of the product?
§ Mrs. Shirley WilliamsFirst, I assure my hon. Friend that the major oil companies are ceasing their policy of selective discounts from the end of this month.
Secondly, we are urgently considering the possibility of a further reference to the Monopolies Commission.
Thirdly, together with my right hon. Friend the Secretary of State for Energy, we are considering inquiries into the level of wholesale prices for petrol.
§ Mr. CostainDoes the right hon. Lady appreciate that the various gimmicks which have been put out—for example, 7p off, 5p off and 4p off—have really misled the public? Sould not garages show the actual price which the purchaser is being charged, and not take a certain amount off an unknown figure?
§ Mrs. Shirley WilliamsAs was indicated in reply to an earlier Question, these matters are being urgently considered by the Director General of Fair Trading. At present there is no legislation, and we do not have the power to say to what price the reduction refers. However, we are making urgent inquiries into the matter. I should point out that the consumption of petrol in August was 7 per cent. below the figure for August 1974. This situation is leading to garages cutting each other's throats in an effort to stay in business.