Petrol prices across the UK have surpassed levels seen during the Iran oil crisis, reaching their highest point since December 2022, according to new figures from the RAC. The average cost of a litre of petrol now stands at 158.5p.
The latest surge follows a period of volatility, with prices peaking at 158.3p on 15 April, shortly after the conflict in the Middle East began on 28 February. After a slight dip, prices have resumed an upward trajectory.
Simon Williams, head of policy at the RAC, described the increase as "bad news for drivers ahead of the bank holiday" and warned that further rises are expected. He said: "RAC analysis of wholesale fuel data unfortunately indicates that unleaded is now likely to increase to at least 160p a litre in the coming weeks, unless there’s a dramatic and sustained drop in the price of oil."
In contrast, diesel prices have fallen nearly 6p to 185.92p, their lowest since the start of last month. However, Mr Williams urged retailers to pass on savings to consumers, noting that wholesale prices have dropped significantly since early April.
The RAC Foundation estimates that the rise in pump prices since the Middle East conflict began has cost motorists an additional £2.9 billion, based on average daily pump price increases and last year's fuel consumption rates.
Amid rising costs, reports suggest Chancellor Rachel Reeves is expected to abandon plans to increase fuel duty from September. The 5p per litre fuel duty reduction, introduced by the previous government in March 2022, was extended until the end of August 2026, with rates gradually returning to previous levels over five years.
