Petrol station bosses in rural Shropshire struggling to stay open
Owners of independent petrol stations in rural Shropshire say they are struggling to stay open in the face of high prices and tiny profits.
They follow the national trend which has seen 175 independent garages shut up shop in the past year, leaving some villages and busy routes without fuel stops. Bloomsbury Garage, on the A41 near Newport, stopped selling petrol about 10 years ago to focus on car repairs and servicing.
Steve Moreton, a partner in the business, said the profit margin was just too small.
He said: "You might be able to make one-and-a-half pence to two pence a litre profit margin.
"The only way you made some money is if you sold a chocolate bar or a sandwich in the process.
"The only way you can compete with the supermarkets these days is if you are a big independent with five or six sites.
"Then you can negotiate on price. The supermarkets have taken the petrol market away from everyone.
"It will never go back to how it was."
Lea Brothers Garage, in Shrewsbury Road, Edgmond, near Newport, is still selling petrol. But business partner James Cooper said any profit is tiny.
Service
"It covers the costs but that's about it these days," he said.
"We do it more as a service to the people than a money-making thing.
"If it wasn't for everything else we do at the garage it wouldn't be viable.
"Even garages on main roads are closing now. They just can't buy it cheap enough."
Mike Horst, who has run St Martins Service Station near Oswestry for 26 years, said ever-dwindling profits was the main reason many rural garages had shut up shop.
Mr Horst said: "The profit margins are so narrow on petrol that many garages in rural areas just can't struggle on forever.
"We, for example, try to make 3p profit on every litre sold which is a tiny profit.
"Fortunately we have the shop at the garage and the car workshop to support the petrol business but many small rural petrol stations don't.
"If you have to get new pumps you are talking about an investment of between £25,000 to £30,000.
"Rural garages will simply say there is no way they can afford that investment for such a small return in profit and just close their doors.
"Some larger supermarkets can use petrol as a loss-leader to get customers in.
"I reckon there must have been about six smaller garages close in the last 15 to 20 years in a seven mile radius from here.
"Things are very tough for the smaller petrol stations at the moment and we are struggling on."
Brian Madderson, of the Petrol Retailers' Association, which represents forecourt operators, said: "Local filling stations are vital.
"At this rate, we'll be left with only motorway services and supermarket forecourts."
