Record petrol prices ‘could stifle staycations’
Drivers continue to see rising pump prices and given the well-documented problems at airports, summer staycations could be hit, the AA warns.
The average price of petrol reached 191.05p per litre on Sunday, while diesel drivers are now ever closer to the £2 a litre mark as the fuel stood at 198.94ppl.
Following the AA’s analysis of Experian Catalyst figures, Edmund King, AA president, said: “Pain at the pumps continues. As we come towards the end of June and into the full summer season we still have crippling record prices at the pumps. The petrol price crept up over the weekend, and diesel increased on Saturday to 199.09ppl but fell slightly on Sunday to 198.94ppl.
“Record petrol prices could stifle summer staycations when the airports are struggling and dramatic diesel prices hit industry and haulage and fuel inflation.”
King added: “The government needs to urgently take action on price transparency and cut duty levels.”
RAC fuel spokesman Simon Williams said the record breaking prices now take the cost of filling up a 55-litre car to £105 and £109.42 for diesel drivers.
Williams added: “We are struggling to see how retailers can justify continuing to put up their unleaded prices as the wholesale cost of petrol has reduced significantly. This is sadly a classic example of ‘rocket and feather’ pricing in action, and one which the Competition and Markets Authority will no doubt be looking at very closely. It seems as if retailers are making matters worse for themselves by not lowering their forecourt prices despite having a clear opportunity to do so.
“The only explanation of retailers’ resistance to reducing prices is that they’re protecting profits in case of wholesale costs suddenly going back up. Ultimately, the longer they hold out, the more they benefit and the longer the misery continues for drivers struggling with the high prices.”