Fuel prices remain too high despite August dip
Average fuel prices fell by less than a penny in August ending two months of rises, according to new analysis by RAC Fuel Watch.
The average cost of a litre of unleaded petrol dropped by 0.39p from 135.03p to 134.64p, with diesel was down by 0.72p, from 142.92p to 142.2p.
However, the RAC believes drivers are still paying more than they should at the pumps. This was echoed by the Competition and Markets Authority (CMA), which stated earlier in the summer that the margin on fuel remains high, and that competition in the UK fuel retail market remains weak.
Pump prices charged in Northern Ireland also point to what’s possible. Retailers pay the wholesale prices but drivers there pay on average just 127.9p per litre for petrol and 134.5p per litre for diesel.
Lower prices
RAC head of policy Simon Williams said: “While it’s good news that two months of rising fuel prices have come to an end, it’s disappointing that high retailer margins are preventing drivers from benefitting from lower prices.
“The Competition and Markets Authority’s latest report confirms that retailer margins are far higher than they were historically, and that competition remains weak.
“Our analysis of pricing data confirms the latter, with just a handful of forecourts appearing to compete heavily on price, with the exception of those in Northern Ireland where drivers enjoy far cheaper fill-ups than in any other corner of the UK. This is no doubt a source of ongoing frustration for many of the nation’s motorists.
“We hope that greater transparency of fuel prices from the end of this year means that a spotlight is shone on both those forecourts that charge the fairest prices and indeed, those that sell petrol and diesel for far higher amounts.”
