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Diesel prices could rise as UK supply runs low

Joanna Faith
Written By:
Joanna Faith
Posted:
Updated:
16/09/2015

The UK’s diesel supply will soon be unable to satisfy driver demand, according to the RAC Foundation.

In its latest report, the motoring research group said the gulf between the diesel fuel Britain needs and what it can produce means it will have to rely heavily on imported stocks.

This could mean diesel drivers paying more at the pump.

The RACF said diesel is being sold twice as fast as petrol and the mismatch is set to accelerate.

By 2030 it forecasts that diesel could be selling four times as fast.

Demand for diesel has risen 76% over the past 20 years compared with a 46% decrease for petrol.

Forecasts suggest that demand for diesel will keep rising – according to some estimates by as much as 20% by 2030 – while demand for petrol drops.

The report said that the growing dependence on imports is partly down to the closure of refineries.

In 2009 there were nine major refineries in the UK. Today there are six and several of these have been or are up for sale.

Steve Gooding, director of the RAC Foundation, said: “Recently motorists have benefitted from falling forecourt prices. We should be concerned about the potential for things to go the other way.”

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