Fuel pump petrol and diesel prices rise in major ‘shock to the system for drivers’

Fuel pump petrol and diesel prices rise in major ‘shock to the system for drivers’

Fuel pump prices shot back up in June after months of heavy savings and discounts due to the coronavirus pandemic. The RAC said “millions” of drivers would be left “disappointed” that prices had started to rise as they returned to the roads. 

“It is, of course, the lack of demand for fuel which caused prices to drop in the first place so sadly it’s no great surprise that they’re on the rise again now. “

Despite the small rise, the RAC has revealed both petrol and diesel prices are still a massive 17p per litre cheaper than they were at the end of January. 

Analysis shows an average tank of fuel is around £9 cheaper than it was then as motorists continue to make major savings. 

The RAC has blamed the sudden rise on the big four supermarkets which they say have appeared to drive up costs over June. 

Firms have scrapped their pledges to keep petrol costs below £1 per litre as pump prices began to creep up. 

The increased costs may also be attributable to the world oil market where output has been restricted due to less demand. 

This has helped to drive up the barrel price which will only lead to higher pieces within the coming weeks. 

Mr Williams said: “Oil producer group OPEC and its allies are continuing to restrict output which has successfully driven up the barrel price and that can only mean one thing for drivers in the coming weeks – higher prices. 

“This is confirmed by RAC Fuel Watch data which shows that petrol is likely to go up by 2p a litre in the next fortnight.

“Diesel, however, shouldn’t rise much at all unless retailers use the saving in its slightly lower wholesale price to subsidise petrol.”

Mr Williams urged drivers to “fill up when they can” to benefit from the lowest prices in four years. 

Published at Tue, 07 Jul 2020 06:22:00 +0000