Anger after petrol prices soar to £1.39 a litre

SCOTLAND'S transport minister has accused Alistair Darling of letting down remote areas by failing to reduce fuel prices for remote communities.

The Chancellor has recently rejected Scottish Government calls to cut fuel duty in rural and island areas, where prices have spiralled. Stewart Stevenson yesterday criticised the UK government for failing to act on the issue during a debate in the Scottish Parliament.

He said: "We have yet to see the kind of movement on the government's part that recognises the real concerns that exist in remote rural and island areas of Scotland about the affect of fuel duty; the affect of high prices on these communities. The Chancellor's latest rejection has simply let down thousands of households and businesses in remote parts of Scotland who face these very high fuel costs."

The Automobile Association will today warn that pump prices in the UK continue to rise to record highs, hitting rural drivers hardest.

New figures show the average petrol prices in Scotland reached 120.7p a litre in April – up 4.7p on last month. This was higher than the UK average of 120.53p and second only to Northern Ireland at 121.2p. Diesel prices also rose to an average of 122p per litre in Scotland (up 4.7p), compared to the UK average of 121.56p and Northern Ireland (122.4p).

Many outlying parts of Scotland already face higher fuel costs. Yesterday's debate heard petrol prices on the island of Coll have hit 1.39 per litre.

It was called by the Liberal Democrats who are seeking a mechanism to reduce the difference between prices in cities and outlying areas. The party wants the Scottish Government to hold urgent discussions with the UK government and the European Commission to find ways to reduce the difference.

Liam MacArthur, the party's rural affairs and energy spokesman, said rural areas face a "triple whammy" of higher fuel prices, longer distances and little or no public transport alternative.

"When you also consider that the average wage and household income in many of these same areas is also lower than elsewhere in the UK, the claim for a fairer deal in terms of fuel duty becomes utterly compelling."

He said France had acted to reduce fuel duty in Corsica, and Greece and Portugal have also taken action.

Tory Alex Johnstone said his party, at UK level, wanted to see the introduction of a "fair fuel stabiliser". He said: "This would ensure that the economy is less exposed to the instability of international oil markets and would keep prices at the pump more consistent.

"Under a fair fuel stabiliser, when fuel prices went up, fuel duty would fall and when fuel prices go down then, of course, fuel duty would rise again."

But Labour transport spokesman Charlie Gordon said there was no guarantee that retailers would pass on the benefits of lower duty via prices at the pump. He said the weakness of the pound against the US dollar was also an issue.

The AA Fuel Price Report showed that recent rises have added 2.22 to the cost of filling a typical 50-litre fuel tank and raised the monthly petrol cost for a family with two cars by 9.43.