Islands receive fuel price boost

The Government has introduced a scheme which could significantly cut the cost of diesel on outlying islands such as the Inner and Outer Hebrides, islands in the Clyde, the Northern Isles and Scilly.

With motorists on these islands now paying around 5p less per litre of diesel, it means they could have more spare cash left over to pay for other motoring costs such as car insurance.

Talking about the initiative, Chief Secretary to the Treasury Danny Alexander said it would "make a real difference to people who face the highest fuel costs in the country".

However, Mr Alexander is scheduled to visit a petrol station on the Isle of Skye on Thursday morning, amid fears that the scheme will do little to help due to recent fuel cost increases.

Speaking to BBC Radio Scotland, Alistair Carmichael, Lib Dem MP for Orkney and Shetland, said he had received evidence from Shetland that "a local garage had had the price they were required to pay put up 2p per litre this week and 3p per litre last week".

When asked if that meant there would be no difference in the price paid by motorists, he said: "That's the danger."

He did go on to say that the scheme would "have an impact for people as long as everybody plays fairly and honourably".

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