Petrol pricing is cause for concern, warns watchdog

The UK competition watchdog will investigate petrol and diesel pricing after finding "cause for concern in some parts" of the industry.

The Competition and Markets Authority (CMA) said it had discovered a sharp rise in prices once fuel had been processed by oil refineries.

It also found "significant differences in price" between forecourts in "many rural and urban areas".

The CMA was asked to conduct an urgent review of the market by Kwasi Kwarteng.

The business secretary was concerned that a 5p fuel duty cut announced by the government in March was not being passed on to motorists.

The CMA's initial review found that "on the whole the fuel duty cut appears to have been implemented".

However, it will now conduct an in-depth study of the market.