Petrol prices unjustified – RAC

The RAC says the current high petrol prices are not justified, questioning why prices have continued to rise almost daily for the past two months despite wholesale prices dropping by about 2.5p per litre since 24 May.

Prices are as high as they’ve been for more than three years, with a litre of unleaded now costing an average of 129.42p, and diesel 132.34p. Supermarkets have raised the price of diesel every single day since 27 March. Last month alone the cost of filling up a family car spiked by £3,30.

This is despite sharp falls in wholesale prices.

RAC spokesperson Rod Dennis said, ‘Our data shows that it’s high time retailers cut the price of petrol and diesel at the pumps – we see no good reason for them to wait before passing on savings they are benefiting from which have been brought about by falling wholesale prices.

‘Given how rapidly prices can go up when the wholesale price rises, it is not right that when wholesale prices fall many retailers seem to wait before making a headline-grabbing cut.

‘Many of the biggest fuel retailers in the UK buy fuel on a daily basis. This means that they have been buying in fuel for less than they were just a few weeks’ ago. These price savings should be being passed on to motorists now – making incremental cuts would be fairer.’

However, Brian Madderson, chairman of the Petrol Retailers Association, told the BBC that prices were rising due to the volatility of the market, and said he thought prices would continue to increase as sales fell as a result of more hybrid and EV cars.