PETROL pumps ran dry on Merseyside yesterday as drivers queued for more than an hour to fill up on fuel, which had rocketed to 108p per litre in some areas.

The increase in the price of petrol has brought threats of blockades and protests which have caused the latest wave of panic buying despite a huge variation in prices.

While the supermarket giants such as as Sainsbury and Tesco sell at 92.9p per litre, small, independent garages said they had no choice but to raise the price to as much as 108p per litre.

Motorists faced long queues at even the most expensive petrol stations, while at the cheapest pumps, drivers were waiting for more than an hour.

Many petrol stations ran out of fuel. Staff said four times as much petrol was being sold compared to a normal working day.

People started queuing for petrol from 7am yesterday in "horrendous queues" according to petrol station managers.

And as filling stations shut their doors, police said motorists were even dialling 999 asking where to buy petrol.

At one of the cheapest petrol stations in Liverpool, Sainsbury's on East Prescot Road, Joe Pollard, petrol manager said: "Where people normally buy £25, they are spending £60."

But at Almond's Green petrol station near West Derby, owner Geoff McHugh said the price differences for petrol were built into the way fuel was sold, and out of the hands of petrol station owners.

He said: "People don't realise there is a two-tiered pricing system. Supermarkets and petrol company get one price and we have to pay above that."

Yesterday the price of unleaded petrol at the garage was 108.9p per litre. Mr McHugh said this directly mirrored the price he had to pay. He said: "The fuel that came in had gone up 9.4p per litre which is a massive rise, and that's why our prices have gone over a pound."

He ran out of unleaded petrol yesterday and could only sell diesel.

Today the cost of his unleaded petrol will be back at 104p per litre because he has bought cheaper fuel.

Business has become so bad, many filling stations will have to close altogether.

Queen's Drive Service Station in Stoneycroft, West Derby, could be one of the casualties.

The owner said: "I am thinking of closing this place before the end of the year, although I have been selling petrol for 35 years.

"We used to have four petrol stations but there's no money in this game any more."

Since prices increased more drivers are also running off without paying, leaving with £40 or £50 worth of petrol.

At Victoria Service Station, Ullet Road, Sefton Park, where petrol was 102.8p per litre for unleaded, owner Adnen Khan said stealing petrol had become much worse.

He said: "People think they can get away with it. The police do investigate, but I'm the one who loses out."

The thefts are just another nail in the coffin of small petrol stations, which already have to charge their customers more, he said.

"I was horrified to find out how much I have to charge. I feel embarrassed."

Petrol retailers last night appealed for calm as some forecourts warned they could run dry because of panic buying.

Ray Holloway, director of the Petrol Retailers Association, said there had been some panic buying but the situation "did not compare" with anything from the fuel crisis of 2000.

Protesters from the Fuel Lobby have given ministers until today to meet them or face three days of demonstrations starting on Wednesday.

Mr Holloway appealed to people to just buy fuel when they needed it. "If people are complaining about the price of fuel it seems bizarre that they will invest in this fuel - put it in their tank - and not use it for a long time.

"If people really do buy in the normal way, fuel will be available on the forecourts when they need it."