Drivers are being urged to fill up their fuel tanks “sooner rather then later” after a 10-week streak of falling prices finally ended.
The AA said that the average price of a litre of petrol at UK forecourts had fallen from 150.1p on April 24 to 144.5p at the end of last week, but has since stabilised. The average price of diesel also fell from 158.3p on April 24 to 149.6p but the decline stopped on Thursday last week.
The news comes as a blow to motorists hoping for cheaper fuel prices for the summer getaway. Motoring groups previously hoped that fuel prices would soon fall below the pre-pandemic record high of 142.5p per litre seen in April 2012.
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However, the AA said that this would not be possible in the short term, as the price of a barrel of oil has rebounded in recent weeks, rising from 80 US dollars in early June to more than 85 US dollars in the past fortnight.
AA fuel price spokesman Luke Bosdet said: “The question is whether, after a significant fall in the UK’s average petrol price in June, the price will repeat last year’s sharp rise going further into the summer.”
He added: “It would be a blow for the impending summer getaway if the cost of road travel took off again. For now, filling up sooner rather then later will take advantage of current lower prices.”
It comes after the RAC claimed last month that fuel retailers were exploiting the focus on the general election by keeping their margins “persistently high”. The RAC said prices for petrol and diesel in Britain are “far higher than they should be” despite a fall in wholesale costs.
RAC figures showed retailers’ margins – the differences between what they paid for fuel and the pump price – are 14p per litre for petrol and 16p per litre for diesel. The long-term average for both fuels is 8p per litre.
Head of policy Simon Williams said: “Margins are once again staying persistently high, and drivers are paying the price. Our data clearly shows that pump prices haven’t fallen in line with the reduction in wholesale prices, so drivers across the UK – with the exception of those in Northern Ireland where fairer prices are charged – are once again losing several pounds every time they fill up.
“We believe there’s no good reason for retailers in Great Britain not cutting their prices at the pumps far further. We can only think they’re hoping no one will notice due to the distraction of the general election.”
Robert Johnson is a UK-based business writer specializing in finance and entrepreneurship. With an eye for market trends and a keen interest in the corporate world, he offers readers valuable insights into business developments.
