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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

to not understand why Diesel is more expensive than ordinary petrol in the UK?

8 replies

dikkertjedap · 17/02/2012 16:14

I just don't get it. On the Continent diesel is much cheaper. Unlikely to help the UK's competitiveness. Is this differential due to tax treatment?

OP posts:
GrimmaTheNome · 17/02/2012 16:16

I think its supply and demand - not enough diesel refinery capacity.

Lueji · 17/02/2012 16:28

I remember a time when some tax was taken off lead free petrol, which took it to less expensive than Diesel, which is a bigger pollutant.

I could be wrong.

Does anyone still remember leaded petrol? :)

ragged · 17/02/2012 16:32

tax regime, duty, VAT, all work out differently. Don't me ask why that is, though I think the prejudice is to try to keep diesel more expensive as it's more polluting and more efficient so whether you buy petrol or diesel, you should get the same miles per £, long term.

Sevenfold · 17/02/2012 16:34

tis annoying though as I have no choice but to have a diesel van

Lueji · 17/02/2012 16:35

From Wikipedia: Diesel for use by farmers and construction vehicles is coloured red (Red Diesel) and has a much reduced tax, currently GB£0.1133 per litre (£0.52 per imperial gallon or £0.43 per U.S. gallon).

So, it doesn't really affect competitiveness except perhaps in road transport.

dikkertjedap · 17/02/2012 16:36

I assume the impact on logistics businesses must be huge (those with direct international competitors, e.g. removal firms, etc. might go out of business). And ultimately on all of us, as prices of goods will increase (reflecting higher transport costs) and hence stoking up inflation ...

OP posts:
ChairOfTheBored · 17/02/2012 16:37

But also, I could be wrong am dredging this up from GCSE chemistry classes which were 16 years ago, is it not in part because it is a different product, refined differently, and taking more oil to produce, making it marginally more expensive?

VivaLeBeaver · 17/02/2012 16:42

I had a 1972 datsun until quite recently that ran on leaded petrol. Though I did use to put unleaded in it as well but it wasn't really designed for unleaded. It was fab in the fuel crisis as I could still get leaded no problem even when there was no diesel or unleaded available.

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