Rising fuel prices 'cost Jersey tow truck business an extra £10k'

Rising fuel prices are hitting businesses, with the owner of a vehicle breakdown service saying prices had cost his business between £9,000 and £11,000.

Oliver du Feu said it had a "big impact" because trucks, which held between 80 and 120 litres of diesel, were filled up every two days.

It comes as a proposition to lower fuel duty - currently about 65p per litre - by 10p per litre between October and December was withdrawn .

Jersey's treasury minister said there would be "targeted measures" in the government's budget to help people with the cost of living.

Fuel prices have continued to rise since the outbreak of the United States' war with Iran in February.

Du Feu said fuel duty would need to be reduced by 30p to 50p per litre to help businesses manage costs.

He said he expected prices to keep rising and, while his business had absorbed higher costs so far, he might have to charge customers more.

Treasury Minister Alan Maclean said duty cuts were a "blunt tool" and largely helped wealthier people.

Carl Walker, from the Jersey Consumer Council, said there was a "misconception" that fuel prices only impacted people who drove.

"Of everything that we consume in this island, 97% is imported.

"It needs fuel to get here and it needs fuel to be delivered... ultimately it will hit consumers in their pockets, even if they're literally buying a litre of milk in the shop."

The Jersey Consumer Council said the number of people using its fuel and food price comparison website had more than doubled since last year.

In the UK, the cost of petrol and diesel is the highest it has been since 2022 .

The government is set to publish a proposed budget by the end of September before it is debated in December.

Deputy Lucy Stephenson said she withdrew her proposition to cut fuel duty following "constructive discussions" with Maclean.

Maclean said he could not discuss budget measures as they were being developed.

He said it was "possible" people might feel worried that there would be no relief before next year.

He said: "Of course things are much more expensive than they were three years ago, but we've seen the pace of increases reduce slightly, which is encouraging.

"The first quarter of next year is going to be where people are likely to feel the greatest pressure, and that's what we're focusing on."

The director of ATF Fuels in Jersey, Jon Best, said: "Wholesale fuel prices have reached their highest level in four months.

"While the Channel Islands are geographically distant from the Middle East, they are not insulated from the global energy market.

"Fuel is traded in an international marketplace, meaning disruptions to supply, production, or distribution anywhere in the world can have a direct effect on local wholesale costs."

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