The price of refueling a typical family vehicle with diesel has surged over £100 amid ongoing price hikes linked to the conflict in the Middle East.
Recent figures from the RAC indicate that the average diesel cost at UK fuel stations reached 182.8p per liter on Tuesday, marking a 40p increase since the conflict began on February 28.
This rise translates to a total cost of £100.52 to fill a standard 55-liter family car, surpassing the £100 mark for the first time since December 2022. Concurrently, the average price of petrol has risen to 152.8p per liter, up by 20p since the onset of the conflict.
Simon Williams, the head of policy at RAC, highlighted that while petrol prices may stabilize if oil costs remain constant, diesel costs are anticipated to continue climbing.
The RAC Foundation, a motoring research charity, cautioned that drivers have collectively spent an additional £409 million on diesel and £135 million on petrol due to the recent price hikes.
According to Steve Gooding, the director of the RAC Foundation, motorists could incur over a billion pounds in extra costs at fuel stations in the coming weeks if the current rate of increase persists. He emphasized that drivers are currently paying a premium of more than half a billion pounds since the conflict began, with costs escalating by approximately £37 million daily.
The surge in wholesale fuel prices stems from the sharp rise in oil prices following disruptions at the Strait of Hormuz. Brent crude prices reached $116 per barrel this week, with around 20% of the world’s oil and gas typically passing through the strait.
To help consumers save on fuel expenses, the government recommended comparing fuel prices and released a list of third-party fuel price apps and websites for reference.
Since February 2, all UK fuel stations have been mandated to promptly report price adjustments to the Fuel Finder database. This data is then shared with various apps, including Confused.com, DriveScore, Fuel Finder UK, Fuel Spy, MotorMouth, PetrolPrices.com, RAC Fuel Watch, and the AA, enabling drivers to compare prices.
Luke Bosdet, the Road Fuel Expert at the AA, noted that the current alignment of pump prices with the government’s price transparency initiative has empowered drivers to identify cost-saving opportunities both locally and during travels. He mentioned a significant increase in the usage of the AA App’s fuel-price search tool, indicating a 500% surge in demand from motorists in the last month.
In efforts to address the soaring prices, Chancellor Rachel Reeves met with industry leaders earlier this month and emphasized the shared responsibility of petrol retailers in keeping prices reasonable for consumers.