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Fuel Duty (Rural Areas)

I thank the hon. Gentleman for that point, but the price of petrol is the fault not just of the Government, but of retailers, distributers and oil companies. He is right that businesses are decoupled. It is important to note that a petrol station and convenience store can be a great draw for customers to come to an area, and particularly for passing trade. There are many retailers in north Wales, but they all charge more the further west they are, and that should be examined. The OFT has held a number of inquiries that have said there are no market failures, but that is blatantly wrong. It has only to check the websites or to go to these areas to see the day-to-day prices that people are forced to pay. I would like the OFT or another body to do another study to look at this live and topical issue that affects people today. Supermarkets say that they charge universal prices across the UK in their stores, but they do not do the same on their petrol forecourts, and that must be examined. The hon. Member for Orkney and Shetland spoke about the impact on the economy, which it is important to consider. Tourism is a big trade in my area, as it is in many peripheral areas. Many people look at the websites and decide to fill up before they come into the local communities because they will get a better deal. People are voting with their wheels, which has a considerable impact. The hon. Gentleman rightly mentioned the agricultural community, which is hit with a double whammy: not only does it pay a higher proportion of tax on red diesel because of the escalator, but people from agricultural communities have to travel great distances and so pay more for everyday activities through normal motoring charges. The people of Ynys Môn whom I represent are concerned about the environment; they just do not have alternatives in many cases. Local government should consider this issue because there is no joined-up thinking. Many local transport schemes do not match. After school, many of the bus services finish so people travelling to sport or leisure centres and clubs in rural areas have no alternative to the private car. Fuel prices are hurting ordinary families in my area and many other areas. The oil companies and the retailers are hurting ordinary families by adding extra costs. A crude fuel tax on top of that is making the problem worse. That started with the fuel escalator under a previous Government. That was stopped for a while and the fuel differentials moved a little in my area. The hon. Member for East Londonderry (Mr. Campbell) mentioned people crossing the border from Northern Ireland into the Republic. My constituency is only a few miles from the Republic of Ireland, and in the '80s and '90s, many people came over from the Republic and purchased petrol as they travelled through north-west Wales. When the escalator hit and the prices went up, the opposite happened. There is now a differential of a few pence, but passing trade still comes off the ferries and goes straight through to Cheshire to fill up with petrol. I heard what you said, Sir Nicholas, and I will conclude my remarks because other hon. Members want to speak. The Minister is a reasonable person. As I said, the Treasury looked at the vehicle excise duty because of the impact that it was having in many areas, including peripheral and rural areas. I hope that she and her officials understand the strength of feeling in peripheral areas and islands across the UK because this is a real issue. It is hurting communities and ordinary families greatly. The Treasury was right not to put the fuel duty escalator in its Budgets straight away, but it has reverted to it. I hope that she and her officials will consider having pilot schemes in peripheral areas to try to create a level playing field across the UK.