MOTORISTS and business leaders today warned of the crippling effects of a fuel protest as the cost of petrol in East Lancashire began to soar.

The weekend terrorist attacks in Saudi Arabia prompted fears fuel prices will shoot up in the summer

- causing protests similar to those which caused widespread chaos across Britain in 2000.

But the Petrol Retailers Association (PRA) said that price rises were "inevitable" and only a change to the Government's planned 2p rise on fuel duty this September will be enough to ward off protests.

Prime Minister Tony Blair has indicated he would not intervene to halt price rises at the pumps. And the Organisation of Petroleum Exporting Countries (OPEC) was due to consider increased production at a meeting today.

The Kwik Serve, in Bispham, Blackpool, is believed to be the most expensive, selling unleaded fuel at £1.09-a-litre. But East Lancashire prices are hovering around the national average.

The AA said a litre of unleaded petrol today was 82.82p - an increase on yesterday's figure of 80.65p. It added that diesel had increased from 83.60p-a-litre yesterday to 83.71p today.

PRA director, Ray Holloway, said: "Prices were expected to go up even before the latest worries about Saudi Arabia. The die was cast a long time ago.

"Price rises now are the result of the rise in crude prices in May and it's clear that this summer is going to be a very difficult one. The present Saudi situation is merely adding to what was already going to be a difficult year."

Mark Molnar, managing director of Blackburn-based vending machine ingredients firm VMI, is already planning ahead to beat the fuel blockades.

The drivers of his 80-strong fleet of vans and cars have already been told to keep their tanks full.

He said: "After salaries, transport is the biggest cost facing our business. I have no doubt the rising cost of fuel will impact on our profits - it is just not possible to pass on these increases to our customers."

A spokesman for Hyndburn-based transport company, Fraser Eagle, said: "We are co-ordinating the biggest-ever rail replacement operation on the West Coast main line this summer and costs are a real concern to the rail industry. High fuel costs are simply bad for business."

Neil Brierly of Portable Conveniences, Feniscowles, said: "Any rise in fuel prices hits us directly. We tend to quote in advance for work so we can't simply pass the extra costs on to our customers. We have to look at other ways to keep our costs down, which can mean cutting back on staff hours."

Mike Damms, of East Lancashire Chamber of Commerce, said: "We understand how frustrated people can get but at the same time the country has to keep moving in order to remain competitive.

"If more money was put into the roads and railways to ease congestion, people would be more sympathetic about the overall level of taxation."