PETROL prices are holding at just under 90p a litre in York, as experts warn of tough times ahead for motorists.

Across the city and in Selby, garages are united in selling unleaded petrol at 89.9p per litre - except at supermarket pumps at Sainsbury's at Monks Cross and Tesco at Clifton Moor and Askham Bar, where the price is 88.9p per litre.

But prices across more rural areas of North Yorkshire are generally higher, with motorists in some areas paying more than 90p per litre.

The region could feel other effects of the fuel rises, with the price at the pump set to remain high for months to come, thought local industry insiders would not be drawn on whether the price would definitely break the £1 per litre barrier.

Nationally, experts are warning further price increases could put yet more independent garages out of business - and leave whole communities, particularly in rural areas, without a local petrol supply.

Tony Boorman, of Malton, whose company has had to reduce its original 17 garages across Yorkshire to just one, warned that demand will keep prices high for months to come, as businesses and oil-heated homes stoke up for the winter months.

He urged local customers to resist the lure of cheaper supermarket petrol elsewhere, and buy locally to keep garages like his in semi-rural and rural areas up and running.

If not, he said, customers could find themselves spending more overall because they would need to travel long distances to fill up.

Since it closed its Selby branch two months ago, his company Tyke 2000 Ltd is down to a single site - in Malton.

"We are now making less margin than we were two years ago when the price was 70.5p per litre," he said.

"I don't think I can see an end to it."

Chris Stern, chairman of the East Pennine Petrol Retailers Association, warned that the number of independent garages is likely to drop 20 per cent to 8,000 by the end of next year, as higher prices push them out of business. Many of them are in rural areas, such as North Yorkshire.

He urged the Chancellor of the Exchequer to think hard about imposing more petrol duty. Gordon Brown has already delayed the proposed September 1 increase until at least November. Every price rise means that the Government gets more money per litre, as it gets increased VAT receipts.

:: Lucy Mair and Sam Jackson spoke to motorists in York about the effects of the petrol price rises.

Bernard Potter, of Skelton, York, said: "I try not to use my car as often when the prices for petrol are so high. I would definitely support a campaign to lower the price of petrol"

Mandy Radford, 40, of Thirsk, said: "The petrol prices are extortionate. I try to use Park & Ride whenever I can. I hope people will campaign to reduce the costs."

Jean Bain, 66 of Holme-on-Spalding Moor, said: "The prices are getting out of hand and are affecting people's livelihood."

Peter Kennally, of Leeds, said: It would be much cheaper for me if it was reduced. It costs almost £60 to fill up."

Updated: 09:35 Wednesday, August 10, 2005