Fuel Prices Surge: Leclerc Slams Refiners Amid Tax Debate

As fuel prices soar across France, Michel-Édouard Leclerc accuses refiners of speculation while the government faces rising pressure over fuel taxes.

As fuel prices in France hit new highs, a fierce political and economic battle is unfolding. Supermarket boss Michel‑Édouard Leclerc has accused refiners of profiteering, while the government faces mounting pressure to tackle what drivers see as unbearable taxes at the pump.

The Cost of Conflict: Why Fuel Prices Are Soaring

The latest surge in prices follows recent tensions in the Middle East. After joint U.S. and Israeli strikes on Iran on 28 February, oil prices skyrocketed.

Brent crude briefly climbed above $120 a barrel, its highest in months.
Diesel prices jumped 26 cents in just seven days, reaching an average of €1.98 per litre by 7 March.
The SP95‑E10 petrol rose nearly 10 cents over the same period.

Experts say prices could climb another 10 to 15 cents per litre if global instability persists—pushing the average well above €2 per litre nationwide.

Leclerc Points to Refiners: “Someone’s Making a Margin”

Speaking on France 2’s Les 4 Vérités, Michel‑Édouard Leclerc took aim at the oil refiners, claiming they’re cashing in on panic in the global markets.

“If they are drawing from old stocks bought before the crisis and still raising prices, someone is making a margin somewhere,” he warned.

Leclerc’s group, which controls 60% of fuel sales in France, says their petrol stations are selling “at almost cost price”—for instance, €1.96 per litre at Leclerc vs. €2.09 at BP. On social media platform X (formerly Twitter), he warned earlier that “speculation can start quickly.”

Leclerc’s comments echo concerns among French motorists that refiners and distributors may be inflating prices before any real supply shortage occurs.

Taxes at the Heart of the Debate

Fuel taxation is now under the microscope. According to the French Petroleum Industries Union (UFIP), taxes account for 50–55% of the price at the pump.
That means more than half of what drivers pay goes directly to the state in VAT and excise duties (TICPE).

Super U CEO Dominique Schelcher confirms: “Over 51% of your fuel price goes straight into government coffers.”
The Rassemblement National (RN) demands a reduction in VAT from 20% to 5.5%.
La France Insoumise (LFI) is pushing for a temporary price freeze to shield low-income households.

But the government says those measures are unrealistic. Energy Minister Maud Bregeon insists that slashing taxes would create a €20 billion budget gap, while Prime Minister Sébastien Lecornu has instead ordered 500 station inspections to crack down on “abusive price hikes.”

France’s Energy Dilemma

The situation has reignited questions about France’s dependence on imported fossil fuels and the slow rollout of alternative energy solutions. Despite government incentives for electric vehicles and renewable power, high purchase costs and limited infrastructure still push most drivers toward petrol or diesel.

Economists warn that without structural changes in the energy market, France will remain vulnerable to global shocks — and consumers will keep footing the bill.

What Drivers Can Do Right Now

While waiting for relief, motorists can still find small ways to ease the pain at the pump:

Compare fuel stations using apps like Essence & Co or Fuelio.
Drive efficiently—smooth acceleration and correct tyre pressure can save up to 10% on fuel.
Carpool or combine errands to reduce overall mileage.
Watch for supermarket promotions that offer bonus vouchers or discounts on fuel.

Every cent counts when prices are this high.

The Bottom Line

France’s fuel crisis is more than an economic story—it’s becoming a political litmus test. As the price of oil climbs and public frustration mounts, the government must balance budget discipline, energy transition goals, and the everyday reality of rising living costs. For now, what’s clear is that the road ahead looks expensive.