Pump prices have started to rise again in a blow for millions of families setting off by road for the start of the summer holidays. According to breakdown giant the AA, the average forecourt price of petrol edged up from a six-week low of 150.7p last Monday to 151.0p a litre at the weekend. Diesel has largely held at just below 165p a litre, rising from 164.8p to 164.9p going into the weekend.
Renewed Middle East Tensions Drive Oil Price Surge
The uptick comes as oil prices have risen amid renewed tensions in the Middle East. US and Iranian forces exchanged heavy missile and drone attacks over the weekend and into Monday. Tehran struck US facilities across the Gulf and said it had again closed the Strait of Hormuz. That was after US President Donald Trump, referring to the weekend's strikes on Iran, insisted: “We’re beating them up.” Before the conflict began in late February, the Strait of Hormuz handled about one-fifth of global daily oil and liquefied natural gas supplies.
Oil prices surged more than 3% to $78.68 by early morning on Monday, though well below the peaks seen during the depths of the Iran war. The subsequent jump in pump prices was the clearest sign of the direct impact of the conflict in the Middle East on millions of UK drivers.
Historical Price Volatility Since War Began
Since the start of the US-Iran war, petrol and diesel hit highs of 159.0p and 192.4p a litre respectively in April. After falling with a ceasefire pending, petrol then rose to 159.7p in May following the failure of negotiations. The recent uptick in prices comes from a 3p to 4p a litre rise in wholesale petrol costs from the last week of June onwards. Diesel costs have jumped by more than 6p a litre in the same period, the AA said.
“Despite more than a penny coming off the average price of petrol over the past fortnight, drivers across the UK now face new increases heading towards the start of the summer holidays,” said Luke Bosdet, the AA’s spokesman on pump prices.
Impact on Electric Vehicle Adoption
The volatility of pump prices has driven a rising number of drivers to take the switch to electric cars. The Department for Energy Security and Net Zero separates electricity consumption by road vehicles from transport as a whole. New figures show a 30.7% increase in road vehicles’ power consumption between 2024 and 2025. In the first quarter of this year, electricity used by EVs jumped a further 28.1%.
