Rising fuel prices are hampering efforts to keep inflation low, according to John Rider, Institute of Directors’ West Midlands regional chairman.
And he warned that many people openly suspected the petrol market was rigged.
“People are not confident that they are not being exploited and cheated.”
He called for “a short, sharp review” into petrol prices.
His comments came as inflation got back on track after last month’s upward blip to 2.6 per cent.
The fall in the headline CPI to 2.5 per cent and core inflation to 2.1 per cent was “good news”, said the IOD.
And it pointed out that next month’s figures were likely to be even better, with the headline CPI dropping towards two per cent as last year’s utility price rises fall out of the year-on-year index.
However Mr Rider cautioned: “Inflation isn’t falling quite as fast as we expected, due to higher oil prices, indeed fuel prices generally.
“Let’s hope things are at last headed in the right direction but, with economic indicators proving unpredictable, we cannot be confident of that.
“Fuel costs continue to be a worry for both business and individuals alike. Some of this is in the Government’s gift to act; some of it isn’t. There have been various pleas for another review into all this, and I would add my name.”
