The Demise of Petrol Stations
Published: 22nd August 2007
150 forecourts have already closed this year, according to figures released by oil industry body Catalist. There are now less than 9,500 forecourts in the UK, including supermarket filling stations. This is the lowest number of filling stations in the UK since 1912. The situation could become critical if the total number of forecourts continues to drop at the rate of recent years.
Holloway commented: ‘Motorists are now noticing gaps in fuel availability, and if it gets worse as expected, they will certainly be inconvenienced when searching for a forecourt in some areas.
‘Closures are not just in rural areas either. Urban closures are causing equal inconvenience for motorists. Oil company outlets are being closed as fast as independents are forced out of business. Strong supermarket outlet growth since the 1990s and resulting squeeze on margin has made motor fuel retailing a very unprofitable business.’
The PRA believes that Government involvement is critical to save the nation’s fuel stations. Holloway explains: ‘Structure plans developed by local authorities must allow for maintenance of essential services such as forecourts. Some business rate relief is available to forecourt operators in rural areas but not in urban locations. From the evidence available they must extend this minimal support.’
Holloway adds: ‘The Scottish Executive has a grants scheme available to assist forecourt retailers in Scotland with capital investment. The idea is to preserve businesses, and contribute to the continuation of fuel availability in all areas. Westminster must consider a similar scheme for England and Wales.’
