Fuel prices forcing families out, says Glyn Davies MP

Families and businesses are being driven out of sparsely populated rural areas such as Powys because of soaring fuel prices, an MP has said.

Glyn Davies said many residents were dependent on their cars to go about their daily business, while firms were being disadvantaged by petrol hikes.

Coupled with the squeeze on family living standards, the Montgomeryshire MP said the financial strain was forcing businesses and individuals to give up rural living.

His warning comes as the average price of petrol edges up between £1.30 and £1.40 for a litre of unleaded in rural parts.

Speaking during a debate on fuel prices at Westminster, Mr Davies said: "Fuel duty is particularly important where I live for two main reasons. One is the absolute cost. As with a lot of rural areas, fuel is essential to us.

"We cannot access any services without having to drive to them. That point is more relevant in a sparsely populated area than anywhere else. The second issue is competitiveness, because it affects not just transport hauliers from overseas but those in Britain.

"The position of small businesses and individuals where we live is incredibly difficult because of competition. The price of fuel is acting as an anti-regional policy that is persuading people to move out, simply because of cost."

The Tory MP wants to see the Coalition look seriously at a fuel stabiliser to vary the rate of duty, and step up its negotiations with the European Union over proposals to give drivers in remote rural areas a discount on petrol prices.