Madam, I write in response to James Snowdon's letter concerning prices in Ross-on-Wye compared to his home city of Birmingham.

I too have noticed the difference in petrol prices between Ross and Birmingham. My husband and I time our refuels to coincide with visits to family in the Birmingham and Nottingham areas as prices are usually a few pence per litre cheaper there. I don't know how the petrol giants justify these differences but assume them to be down to forces of supply and demand and the cost of transport from the refinery.

I disagree with Mr Snowdon when it comes to eating out. We moved to Ross-on-Wye from West Yorkshire three years ago and noticed no significant difference in cost between the two. When we travel around the UK we compare value for money to home and generally find prices to be consistent. On my visits to family in Birmingham I pay around the same for a coffee and cake in the same standard of independent cafe there as I would at home. Of course, wherever you are, prices can usually be checked before deciding whether they match your budget.

Where Mr Snowdon found price differences between the two locations in otherwise genuinely comparable establishments it's surely down to some obvious factors. This area is a rural economy that's relatively dependent on seasonal visitors. Some businesses rely on turnover from part of the year to see them through the leaner months of winter. Opening hours are generally shorter when compared with the city as consumer demand doesn't justify early morning, late night or Sunday trading. The labour market is smaller which in economic terms usually results in higher wage costs. I would also suggest that businesses here pay propotionately higher overheads than a comparable enterprise in a large city. Sometimes this is through choice; many use fresh, quality, locally sourced produce rather than cheaper wholesale supplies.

Ross-on-Wye offers fantastic choice and an independent town centre with a focus on quality and service. It's a blessing to have independent traders to shop from and different places to drink and eat in than the usual high street names where you could be in Aberdeen or Andover because the food and drink's the same wherever you are. If I am paying a small premium for that then I'm happy to do so.

Alison Roe

How Caple