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Petrol retailers hoping for a return to normal after motorists drained pumps over the weekend have faced yet more forecourt queues – as parts of the economy started to feel the strain.

In some areas, up to 90% of pumps ran dry, according to industry estimates – and there was little sign of the panic-buying diminishing on Monday, with consumers apparently ignoring pleas to stop.

That left industries from taxi drivers to the meat processing sector – and even non-league football – facing difficulties and prompted calls for healthcare workers to be given priority access to fuel.

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No plans for army drivers to ease fuel crisis

The British Medical Association said there was a real risk that some would not be able to get to work.

But the Petrol Retailers’ Association (PRA), representing two-thirds of all UK forecourts, said that with many drivers’ tanks now full after the weekend it was watching for an “easing of demand”.

The government said there were no plans to bring in the army to drive lorries to deliver fuel to petrol stations though environment secretary George Eustice said the military’s contingencies unit was always on standby.

Mr Eustice said: “There does come a point – as we saw during a previous episode of panic buying during the pandemic on food – where things settle down and people get used to it, and return to life as normal again.

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“The sooner people do that the better.

“The only reason we don’t have petrol on the forecourts is that people are buying petrol when they don’t need to.”

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5,000 extra drivers ‘just about scratches the surface’

The crisis mushroomed after the disclosure last week that a few petrol stations had seen supply disrupted, due to the nationwide shortage of HGV drivers, prompting widespread panic-buying.

It was still in evidence for a fourth day on Monday, with roads gridlocked as motorists queued for more than an hour in some cases, with lines of cars trailing out of forecourts onto the public highway.

Some petrol retailers – Asda and EG group – have been restricting fuel sales to £30 a time.

Even if the buying frenzy does abate, motorists face a further headache as the price of Brent crude on international oil markets continued to climb, reaching a three-year high of just under $80 a barrel – likely to result in higher prices at the pumps to come.

Meanwhile the RAC, the motoring organisation, said it was aware of “a small number of retailers taking advantage of the current delivery situation by hiking prices”.

The industry has pleaded with consumers to stop panic-buying and sought to assure the public that, with fuel stocks at refineries and terminals at normal levels, it is only a shortage of lorry drivers that has restricted deliveries of fuel.

Gordon Balmer, executive director of the PRA, which represents independent fuel retailers, said: “Delayed deliveries and unusual buying levels have led to supply pressure and a number of forecourts’ stockouts.

“It is unlikely that the vehicles filled over the weekend will need refuelling again soon.

“As a result, we will watch carefully for a possible easing of demand and normalising of forecourt stocks over the coming days.”

RAC spokesman Simon Williams noted however that the panic-buying over the weekend meant every forecourt in the country now needs to re-stock at the same time, putting “unbelievable pressure on the supply chain”.

He added: “We urge drivers to only take the fuel they really need.

“Stock piling in containers only makes the situation worse for those who desperately need fuel as well as potentially causing unnecessary fire risks if not stored correctly.”

Among industries feeling the knock-on effect was the beleaguered meat-processing sector – already buffeted by recent crises such as a shortage of the carbon dioxide used to stun animals for slaughter as well as an exodus of foreign workers.

The British Meat Processor’ Association (BMPA) told Sky News that the petrol crisis had resulted in some companies missing key staff such as vets and meat inspectors.

“So far it has not caused any plants to completely shut but we are monitoring the unfolding situation very carefully,” the BMPA said in a statement.

Meanwhile one private hire taxi firm emailed clients to say its services could be affected to up to 48 hours, warning of delays and that it would not be able to honour some long-distance bookings.

Make UK, the manufacturers’ organisation, said there were anecdotal reports of some firms starting to have problems with the delivery of finished products – though it was unclear whether that was to do with fuel or the wider HGV driver problem that lies behind it.

The crisis has even taken its toll on the sporting world. Non-league Lewes Football Club said that owing to the fuel shortage and the difficulty for players, coaches and officials to attend the game, its mid-week fixture against Carshalton Athletic would be postponed.

The government’s attempts to address the issue have included plans to allow 5,000 more lorry drivers into the UK under temporary three-month visas and the suspension of competition laws to allow fuel industry to work together to address shortfalls.

But they have received a lukewarm response from industry, with complaints that the moves fail to address long-term problems.

Rod McKenzie, head of policy for the Road Haulage Association – which says there is a shortage of 100,000 drivers – told Sky News that the temporary visa move “just about scratches the surface”.

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FCA considering compensation scheme over car finance scandal – raising hopes of payouts for motorists

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FCA considering compensation scheme over car finance scandal - raising hopes of payouts for motorists

Thousands of motorists who bought cars on finance before 2021 could be set for payouts as the Financial Conduct Authority (FCA) has said it will consult on a compensation scheme.

In a statement released on Sunday, the FCA said its review of the past use of motor finance “has shown that many firms were not complying with the law or our disclosure rules that were in force when they sold loans to consumers”.

“Where consumers have lost out, they should be appropriately compensated in an orderly, consistent and efficient way,” the statement continued.

Read more: How to tell if you’ve been mis-sold car finance

The FCA said it estimates the cost of any scheme, including compensation and administrative costs, to be no lower than £9bn – adding that a total cost of £13.5bn is “more plausible”.

It is unclear how many people could be eligible for a pay-out. The authority estimates most individuals will probably receive less than £950 in compensation.

The consultation will be published by early October and any scheme will be finalised in time for people to start receiving compensation next year.

What motorists should do next

The FCA says you may be affected if you bought a car under a finance scheme, including hire purchase agreements, before 28 January 2021.

Anyone who has already complained does not need to do anything.

The authority added: “Consumers concerned that they were not told about commission, and who think they may have paid too much for the finance, should complain now.”

Its website advises drivers to complain to their finance provider first.

If you’re unhappy with the response, you can then contact the Financial Ombudsman.

The FCA has said any compensation scheme will be easy to participate in, without drivers needing to use a claims management company or law firm.

It has warned motorists that doing so could end up costing you 30% of any compensation in fees.

The announcement comes after the Supreme Court ruled on a separate, but similar, case on Friday.

The court overturned a ruling that would have meant millions of motorists could have been due compensation over “secret” commission payments made to car dealers as part of finance arrangements.

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Car finance scandal explained

The FCA’s case concerns discretionary commission arrangements (DCAs) – a practice banned in 2021.

Under these arrangements, brokers and dealers increased the amount of interest they earned without telling buyers and received more commission for it. This is said to have then incentivised sellers to maximise interest rates.

In light of the Supreme Court’s judgment, any compensation scheme could also cover non-discretionary commission arrangements, the FCA has said. These arrangements are ones where the buyer’s interest rate did not impact the dealer’s commission.

This is because part of the court’s ruling “makes clear that non-disclosure of other facts relating to the commission can make the relationship [between a salesperson and buyer] unfair,” it said.

It was previously estimated that about 40% of car finance deals included DCAs while 99% involved a commission payment to a broker.

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Nikhil Rathi, chief executive of the FCA, said: “It is clear that some firms have broken the law and our rules. It’s fair for their customers to be compensated.

“We also want to ensure that the market, relied on by millions each year, can continue to work well and consumers can get a fair deal.”

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ICG takes off with £200m deal for Exeter and Bournemouth airports

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ICG takes off with £200m deal for Exeter and Bournemouth airports

The London-listed investment group ICG is closing in on a £200m deal to buy three of Britain’s biggest regional airports.

Sky News has learnt that ICG is expected to sign a formal agreement to buy Bournemouth, Exeter and Norwich airports later this month.

The trio of sites collectively serve just over 2 million passengers annually.

ICG is buying the airports from Rigby Group, a privately owned conglomerate which has interests in the hotels, software and technology sectors.

Exeter acted as the hub for Flybe, the regional carrier which collapsed in the aftermath of the pandemic.

The deal will come amid a frenzy of activity involving Britain’s major airports as infrastructure investors seek to exploit a recovery in their valuations.

AviAlliance, which is owned by the Canadian pension fund PSP Investments, agreed to buy the parent company of Aberdeen, Glasgow and Southampton airports for £1.55bn last year.

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London City Airport’s shareholder base has just been shaken up with a deal which saw Australia’s Macquarie take a large stake.

French investor Ardian has increased its investment in Heathrow Airport as the UK’s biggest aviation hub proposes an expansion that will cost tens of billions of pounds.

ICG and Rigby Group declined to comment .

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Tech companies are racing to make their products smaller – and much, much thinner

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Tech companies are racing to make their products smaller - and much, much thinner

Some of the world’s leading tech companies are betting big on very small innovations.

Last week, Samsung released its Galaxy Z Fold 7 which – when open – has a thickness of just 4.2mm, one of the slimmest folding phones ever to hit the market.

And Honor, a spin-off from Chinese smartphone company Huawei, will soon ship its latest foldable – the slimmest in the world. Its new Honor Magic V5 model is only 8.8mm thick when folded, and a mere 4.1mm when open.

Apple is also expected to release a foldable in the second half of next year, according to a note by analysts at JPMorgan published this week.

The race to miniaturise technology is speeding up, the ultimate prize being the next evolution in consumer devices.

Whether it be wearable devices, such as smartglasses, watches, rings or foldables – there is enormous market potential for any manufacturer that can make its products small enough.

Despite being thinner than its predecessor, Honor claims its Magic V5 also offers significant improvements to battery life, processing power, and camera capabilities.

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Hope Cao, a product expert at Honor told Sky News the progress was “due largely to our silicon carbon battery technology”. These batteries are a next-generation breakthrough that offers higher energy density compared to traditional lithium-ion batteries, and are becoming more common in consumer devices.

Pic: Honor
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The Magic V5. Pic: Honor

Honor also told Sky News it had used its own AI model “to precisely test and find the optimum design, which was both the slimmest, as well as, the most durable.”

However, research and development into miniaturisation goes well beyond just folding phones.

A company that’s been at the forefront of developing augmented reality (AR) glasses, Xreal, was one of the first to release a viable pair to the consumer market.

Xreal’s Ralph Jodice told Sky News “one of our biggest engineering challenges is shrinking powerful augmented reality technology into a form factor that looks and feels like everyday sunglasses”.

Xreal’s specs can display images on the lenses like something out of a sci-fi movie – allowing the wearer to connect most USB-C compatible devices such as phones, laptops and handheld consoles to an IMAX-sized screen anywhere they go.

Pic: Xreal
Image:
Pic: Xreal

Experts at The Metaverse Society suggest prices of these wearable devices could be lowered by shifting the burden of computing from the headset to a mobile phone or computer, whose battery and processor would power the glasses via a cable.

However, despite the daunting challenge, companies are doubling down on research and making leaps in the area.

Social media giant Meta is also vying for dominance in the miniature market.

Ray-Ban Meta AI glasses are shown off at the annual British Educational Training and Technology conference. Pic: PA
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Ray-Ban Meta AI glasses are shown off at the annual British Educational Training and Technology conference. Pic: PA

Meta’s Ray-Ban sunglasses (to which they recently added an Oakley range), cannot project images on the lenses like the pair from Xreal – instead they can capture photos, footage and sound. When connected to a smartphone they can even use your phone’s 5G connection to ask Meta’s AI what you’re looking at, and ask how to save a particular type of houseplant for example.

Gareth Sutcliffe, a tech and media analyst at Enders Analysis, tells Sky News wearables “are a green field opportunity for Meta and Google” to capture a market of “hundreds of millions of users if these devices sell at similar rates to mobile phones”.

Li-Chen Miller, Meta’s vice president of product and wearables, recently said: “You’d be hard-pressed to find a more interesting engineering problem in the company than the one that’s at the intersection of these two dynamics, building glasses [with onboard technology] that people are comfortable wearing on their faces for extended periods of time … and willing to wear them around friends, family, and others nearby.”

Mr Sutcliffe points out that “Meta’s R&D spend on wearables looks extraordinary in the context of limited sales now, but should the category explode in popularity, it will be seen as a great strategic bet.”

Facebook founder Mark Zuckerberg’s long-term aim is to combine the abilities of both Xreal and the Ray-Bans into a fully functioning pair of smartglasses, capable of capturing content, as well as display graphics onscreen.

However, despite recently showcasing a prototype model, the company was at pains to point out that it was still far from ready for the consumer market.

This race is a marathon not a sprint – or as Sutcliffe tells Sky News “a decade-long slog” – but 17 years after the release of the first iPhone, people are beginning to wonder what will replace it – and it could well be a pair of glasses.

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