Fuel prices rose for the first time in eighteen weeks last Monday as petrol costs rose by just 0.3 pence per litre. However, costs have begun to increase more rapidly with a 0.57p increase over the past week as costs fell to 105.74 pence.
Diesel prices have also risen more quickly with costs 0.22p up on the previous week when prices only marginally increased.
Campaigns have attacked the latest increase in pump prices claiming costs should have been below £1 per litre across all outlets.
Fair Fuel UK founder Howard Cox has said supply chains’ “greedy principles” and their use of the pandemic to “ramp up profits” was “despicable”.
Mr Cox said drivers were becoming infuriated they had more chance of winning the lottery than guessing petrol prices as costs continued to fluctuate.
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Speaking to Express.co.uk, Mr Cox said: “Petrol should have been below £1 per litre at all fuel outlets for at least four to six weeks, not just at supermarkets or a few honest independents.
“The average petrol price across the UK never dropped below £1.06 and diesel bottomed at £1.11 before now starting to climb again as oil is rebounding from its March crash.
“With petrol margins more than 90 percent higher during the pandemic crisis compared to the first three months of the year, oil companies should rightly keep pump prices as low as possible.
“Sadly, with worldwide demand increasing and driving oil prices northwards, these faceless businesses will hike pump prices, totally unchecked.”
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RAC Fuel Watch has predicted there will be no further changes forecast for unleaded and super unleaded fuels.
However they do predict diesel prices were still likely to come down further despite the recent increase.
Fuel costs have fallen by over 20p per litre since the end of January when the effect of the pandemic started to take hold.
Petrol fell from 127.33p on 27 January to 104.87p by the end of May which is the lowest price recorded.
Diesel costs also dropped from 132.88p down to 111.70 in a massive 21pence per litre fall.
Last week RAC fuel spokesperson Simon Williams predicted price rises in June were “inevitable” as wholesale oil prices began to rise.
Simon Willams said: “How long these lower pump prices remain for however is debatable and is largely dependent on events taking place thousands of miles away from the UK.”
He said the dramatically reduced demand for oil has forced countries to agree to production cuts to enhance the price of oil barrels which could have consequences on petrol costs.
He added: “How far they go with these cuts, and how quickly, will be crucial in determining what happens with prices at the pumps over the next few months.
“Last month, as we expected, the oil price began to creep back up. If this continues in June, a rise in the cost of filling up is almost inevitable.”
Mr Williams urged motorists to fill up when they can to benefit from the lowest prices in four years before costs dramatically rise.
Despite the cheap costs, analysis this week revealed road users have not been using petrol stations over lockdown.
Data from the Department for Business, Energy and Industrial Strategy revealed average sales were just 61 percent of their typical values.
Mr Cox and FairFuel have pushed for an independent price monitoring system and have warned profiteering will continue until a scheme is introduced.
Published at Wed, 10 Jun 2020 13:17:00 +0000