Farming News - Rural fuel price cut begins

Rural fuel price cut begins



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  •  Pump price threshold: pump prices have to be more expensive than the lowest pump price on the islands in the existing scheme, during the months examined
  •     Cost of transporting fuel: areas have to be over 100 miles by road from the nearest refinery
  •     Population density: the population density must be no higher than any area in the current scheme
  • Retailers in selected areas could register from 1 April, and the scheme will begin to effect consumers today following a 60-day time lag.


Areas that did not adequately fulfil these criteria were not included in the application, as the government considered them to be unlikely to receive approval from the EU.

Retailers of road fuel within these geographical areas are eligible to register with HMRC and to claim back 5 pence per litre duty relief on purchases of unleaded petrol and diesel for retail sale within the eligible areas. They are entitled to claim the relief from HMRC on a monthly basis.