Boat owners at risk of fuel theft

Thursday, 30 October 2008 08:01

An insurer has warned new EU regulations means boat owners may be at risk of fuel theft when the price of red diesel soars next month.

The price of red diesel for privately-owned leisure boats will be brought into line with other EU countries on November 1st and will consequently rise from approximately 76p a litre to £1.50 a litre.

Previously, UK leisure boats were allowed to use the low-tax red diesel alongside commercial craft.

However, leisure boat owners across the EU have to use the same white diesel that motorists use, which is taxed at a higher rate.

James Roberts, head of insurance company Navigators & General (N&G), said "Diesel theft isn't a new issue for boat owners but with red diesel prices set to increase so dramatically this year, we anticipate this problem is likely to increase and our customers are already asking us for security advice for their boats.

"If you consider that a 46ft motor boat would hold approximately 1600 litres of diesel, the total cost of fuel it holds at the new rate (approximately £1.50 a litre) equates to nearly £2,400.001."

N&G added that although the cost of diesel theft will hit boat owners hard - particularly as it is often not covered by standard policies - the real danger is if a boat runs out of fuel at sea because the owner thought the tank was full.

Red diesel will be retained at marinas and waterside pumps here in the UK, but sold at two different prices.

There is an exception that red diesel for domestic use on board - for heating, for example - is to be charged at the lower rate of fuel duty.

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