Overview
- Chancellor John Healey told newspapers he will "watch closely" for price gouging at petrol pumps and in supermarkets and said regulators have powers to act if firms break the law.
- Petrol has jumped to around 160p per litre, the highest level since 2022, driven by disruption to shipping through the Strait of Hormuz caused by the Iran conflict.
- Retail bodies and supermarket bosses pushed back, saying fierce competition and very low margins mean there is no evidence of widespread profiteering.
- Healey has told ministers there is no new money for fresh pledges and has set his first Budget for 28 October to find savings and fund cost-of-living measures.
- The Competition and Markets Authority can fine firms for competition breaches and unfair practices but cannot punish firms simply for raising prices without new legislation.