How fuel prices are set and why they vary station to station

Why does one station cost noticeably more than another a mile away? Fuel pricing isn't random — here's what's behind the number.

The layers inside a pump price

The price you pay is a stack of costs. Roughly, from the bottom up:

• Crude oil and refining. The raw commodity plus the cost of turning it into finished fuel — the part that moves with global markets.
• Distribution. Moving fuel from refinery to terminal to station. Remote stations cost more to supply.
• Taxes and duty. Often the single biggest component, and it varies enormously by country. This is why identical fuel costs wildly different amounts across borders.
• Station margin. The retailer's slice, shaped heavily by local competition.

Why neighbours differ

Two stations a mile apart can charge noticeably different prices because the top layers vary locally. A site with three competitors within sight prices keenly; an isolated site, or a captive location like a motorway services or airport, charges what it can. Supermarket forecourts often use cheap fuel to draw shoppers, so they undercut standalone stations.

Why prices move day to day

Wholesale costs shift with oil markets and exchange rates, and stations pass changes through at different speeds — prices tend to rise quickly and fall slowly. Local events, holidays and supply disruptions add short-term swings on top. That's why a price is only meaningful with a timestamp.

Using this when you fill up

You can't change tax or crude, but you fully control where you buy. Use the map to compare recent, timestamped prices near you, favour competitive and off-highway sites, and avoid getting cornered into a premium location on an empty tank. And report what you paid — fresh price data is what makes everyone's comparison work.