Petrol price?

Question

why is fuel so much here in the uk when in america it is realy cheap and america has the largest comsumption? and generates most pollution?

Answer 1

I don't know what your paying but gas averages almost $3.30 a gallon here.  And the reason its so expensive in the UK,  I would imagine supply and demand, transporting, also the gas station has to make a profit otherwise they would be another business bankrupt.

Answer 2

The price of the fuel is the same, but the tax is higher in the UK.  

Consequently, the UK has better public transport, so less fuel consumption is necessary.

Answer 3

In the 1970's the oil crisis had a huge impact on the economy of Europe. Countries, including UK, decided to slowly raise the tax on petrol so that future price spike would have less impact, and in bad times the tax could be lowered to reduce problems.

Currently there is about 75% tax on petrol in the UK. That means that if the price of oil doubles, to the UK consumer it seems like the price of petrol goes up only 25%. This has a lesser effect on people's budget. If the price goes too high, the government has the option of lowering tax to keep the price stable for the consumer.

In the US consumers feel the full effects of the world market price, and the government has no options for reducing the effect on consumers.