PETROL GOES UP

Evening Post, Volume CXV, Issue 34, 10 February 1933, Page 8

PETROL GOES UP

FQURPENCE A GALLON

INCREASED THIS MORNING

DUTY AND EXCHANGE

The price of petrol, first and second grades, has been advanced 4d per gallon, 'or 2s 8d per case, by all main companies as from this morning. The advance is due to' the increase in duty and exchange on London.

The announcement of the increased price of motor-spirit comes as no sur-prise-to those conversant with the position. In fact there were yesterday many people who thought that the price of motor-spirit was quite likely to be increased by fivepenee. The position was complicated because the raising of the exchange rato had not yet affected the wholesale price of motorspirit, the companies meantime bearing the loss. But in no quarters was it anticipated that. the companies would also carry the extra threepence, and it -was generally thought that when it became necessary to increase the wholesale price they would increase it by an amount sufficient to cover the increased exchange Tat© as well as the added tax.

The retailers are passing the fourpence on to the consumer. The increase in price is likely to bo general by tomorrow: to-day some retailers are selling at the old price. There has been quite a rush.of motorists to "fill up" while the go;ng is good. The general opinion is that fourpence a gallon more on motor-spirit will result in a decided drop in sales. The private car owner will "draw in Ms horns," as one retailer put it, and there vrill be far less driving about the country for pleasure. Transport services, at present finding it difficult to meet competition and at the same time to make a profit, may be forced to increase fares to meet the added cost of running. Betailers on the whole anticipate a marked decrease in their turnover.

By this afternoon practically all retailers were selling motor spirit at an increase of fourpence over yesterday's price, an agreement having been reacted to pass on the increase.to the consumer.