Drivers braced for new normal of £2 a litre for fuel
Pump prices have reached new highs with drivers paying 178.5p a litre for petrol on Monday, while diesel drivers paid 185.2p a litre.
This takes the cost of filling up a 55-litre family car to £98, while the cost of a tank for diesel drivers has reached £101.86.
But the RAC warns that as analysts are predicting oil will average $135 a barrel for the rest of this year, “drivers need to brace themselves for average fuel prices rocketing to £2 a litre which would mean a fill-up would rise to an unbelievable £110”.
Simon Williams, spokesperson for the RAC, added: “The oil price is rising due to increased demand for fuel across the world as China eases its Covid restrictions and America and Europe go into the peak summer driving season. All this combined with a weaker pound at $1.2 means wholesale fuel costs more for retailers to buy. The wholesale price of diesel is fast approaching 160p a litre which, when you add 7p retailer margin and 20% VAT, would take the pump price over the £2 mark.
“We strongly urge the government to take drastic action to help soften the impact for drivers from these never-before-seen pump prices.”