You are here: Home - Household Bills - News -

Wholesale costs fall for five straight weeks, but pump prices still rise

0
Written by:
04/07/2022
Petrol and diesel prices continue to climb, as pressure grows for forecourt prices to be slashed amid wholesale costs falling over five consecutive weeks.

The average price of petrol hit a new record of 191.53p a litre on Sunday, while diesel teeters on the edge of £2 a litre, coming in at an average of 199.03ppl.

However, this is slightly below the previous record high of 199.09ppl on 25 June.

But, many commentators are questioning why pump prices continue to rise.

RAC fuel spokesman, Simon Williams, said: “There doesn’t appear to be any sign that retailers are reducing their forecourt petrol prices despite average weekly wholesale costs having fallen for five straight weeks.

“The average cost of delivered unleaded was 145.7p a litre last week which after adding 7p a litre retailer margin and 20% VAT produces a price of 183p. Despite this, the big four supermarkets, which dominate fuel sales, are standing firm with a litre of petrol at their stores costing an average of 190.19p.

“We would love to hear their reasoning for keeping their prices so high in this instance, but we’ve never known them publicly defend themselves. Far too often it’s the smallest retailers, who sell far less fuel combined despite having more forecourts, that stand up for the industry.”

Williams added: “We’ve been lobbying the government for months to take further action to ease the financial burden caused by record pump prices. It’s time to take action and announce a further cut to duty or to VAT to help hard-pressed drivers and businesses.”

The government ordered a review of the fuel market amid price concerns, and the Competition and Markets Authority is expected to publish its findings this week.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Flight cancelled or delayed? Your rights explained

With no sign of the problems in UK aviation easing over the peak summer period, many will worry whether holida...

Rail strikes: Your travel and refund rights

Thousands of railway workers will strike across three days this week, grinding much of the transport system to...

How your monthly bills could rise as the base rate reaches 1.25%

The Bank of England has raised the base rate to 1.25% as predicted – the fifth consecutive rise in just six ...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week