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Forecourt closures in rural UK communities are creating 'fuel deserts'

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The Petrol Retailers Association (PRA) reports that 15% of dealer sites in the UK have closed, citing data from Experian Catalist that shows 886 sites in the UK shut between 2008 and 2013. The PRA estimates that around 5,759 jobs have been lost as a direct result of these closures*. Furthermore, 36% of the closures have been in rural communities, creating ‘fuel deserts’ for motorists.
 
Brian Madderson, Chairman of the PRA said: ‘The closure of each and every petrol forecourt means the loss of jobs for local people and has a negative impact on the economy in the area. It is also the loss of a local convenience not just for those seeking to purchase fuel but other every day essentials that so many sites now offer their customers.’
 
‘We are particularly concerned with the 322 sites in rural locations which have closed, creating “fuel deserts” in those communities which rely on the service the most. Many of these rural sites have seen both fuel and shop sales dwindle as the more mobile residents are drawn to a supermarket for a weekly major shop when they also fill with fuel. These “fuel deserts” create problems for all rural residents, but particularly for the elderly, those in ill-health and those without cars who rely very heavily on the services provided by local facilities.’
 
He continued: ‘Forecourt retailing is one of the most heavily regulated industries and, as a result, our members continue to suffer disproportionally from unfair competition with the big chains and excessive regulations. Unfortunately a forecourt retailers’ biggest selling product categories – fuel and tobacco – are the most regulated; and whilst regulation is needed in many cases, the government needs to do more to ensure the impact on businesses is not ignored – especially for the sake of politicking in the run up to the general election. Whilst the larger chains have the resources to cope with these regulations, our independent forecourts don’t.’
 
*The PRA job loss estimate is based on the loss of 6.5 jobs per site including owner/operator, cashiers, cleaners, book-keeping and administration positions.
 
A comprehensive statistical overview of the UK fuel retail sector is produced by the Energy Institute each year. The Retail Marketing Survey is published alongside the April issue of Petroleum Review. Visit www.energyinst.org for more information.
 

News Item details


Journal title: Petroleum Review

Countries: UK -

Subjects: Derv, Diesel, Unleaded petrol, Jobs