They may be able to partly fund this thru shop sales i.e. more people visiting = more people buying their shop goods. Maybe they've put a couple of pence on all shop items?
The Manchester Evening News website has to be one of the worst in the country. For such an high profile organisation, its site barely works. I avoid it as much as possible even though it is my local paper.
For some reason the supermarkets done seem keen on a forecourt price war meaning the others will keep high too.
With them all doing it though one would start to smell a cartel in operation but the Government will drag their heels as they get more tax with a higher price.
Drop the price to £1.60, VAT becomes 27p - so a loss of 4p a litre to HMRC or with the UK currently consuming 40.4 million litres per day, £1.62 million per day......the equivalent of nearly £600 mln per year!
If those figures are right then by knocking 25p a litre off yes HMRC loses 4p VAT but the retailer also makes a loss on each liter instead of a profit... so how do they do it.
Why not reduce it by just maybe 10p... massive boost in sales and still make a profit
the retailer still makes money though, not quite as much. All I can postulate is that Texaco have managed to buy s ome very cheap parcel on the spot market - but this ought to be reflected in other Texaco prices elsewhere. Otherwise the garage is only making about 2p/litre and that wouldn't cover site costs and o-heads.