Fuel prices set to soar

Fuel prices could be about to spike after global oil prices rose to their highest levels of the year.

This follows production cuts of crude oil by both Russia and Saudi Arabia.

But while retailers are expected to raise prices in response, the RAC believes they should be lowering them instead.

RAC fuel spokesperson Simon Williams said: “Drivers are in for a hard time at the pumps. Diesel is set to jump in price from its current average of 159p a litre to over 170p. But the situation with petrol is different with RAC Fuel Watch data showing that prices on the forecourt are actually too high due to retailers taking bigger margins than normal. If they were playing fair with drivers, they would be reducing their prices rather than putting them up.”

The latest RAC Fuel Watch data show UK motorists are currently paying on average 155.5p per litre of petrol, while diesel is averaging 159.05p. This is a 10p and 13p rise in petrol and diesel since 1 August,

Williams said: “If oil were to hit 100 US dollars, it should really only take the average petrol price up by another 2p. But if retailers remain intent on making more money per litre with increased margins, then this could be closer to 160p.”