Fuel prices hit highest level since Iran war
Fuel prices have climbed to their highest level since the war in Iran started, according to the RAC.
It has reported that petrol now costs 158.52p per litre, up from the previous high of 158.31p recorded in the middle of April
The RAC is now warning of further hikes in the coming weeks, predicting prices will exceed 160p as a result of higher wholesale costs.
RAC head of policy Simon Williams said: “In bad news for drivers ahead of the bank holiday, the average price of petrol has reached a new Iran war high with a litre now costing 158.52p.
“The price last peaked on 15 April at 158.31p, falling by more than a penny until the start of May when it began rising again. But RAC analysis of wholesale fuel data unfortunately indicates that unleaded is now likely to increase to at least 160p a litre in the coming weeks, unless there’s a dramatic and sustained drop in the price of oil.
“It’s a more positive outlook for diesel as the wholesale price has reduced significantly since it peaked in early April. While the price of diesel at the pump has fallen nearly 6p to 185.92p – its lowest price since the start of last month – it should really be much lower than it is. We urge retailers to reflect the savings they’re benefitting from when buying new supply on the forecourt.”
Fuel duty
He continued: “The news that petrol has climbed to a new wartime high comes in a week when the Chancellor is thought to be on the point of scrapping plans to increase fuel duty by a penny in September. This would have been the first step in reversing the 5p fuel duty cut that’s been in place since the Ukraine war.
“If she decides to keep fuel duty at the current rate of 52.95p per litre, it will be a relief for drivers as our research shows they have been struggling with the higher cost of filling up.”
