Drivers are being warned that the cost of filling up their vehicles is expected to climb even higher this week. Petrol and diesel are on track to reach their highest levels since the US-Iran conflict escalated earlier this year.
The latest figures show the average price of unleaded petrol has climbed to 157.81p per litre after increasing by 0.6p over the weekend. While diesel has risen even more sharply, jumping by 1p to an average of 175.71p per litre.
Since the beginning of the month, the price of petrol has increased by more than 6.5p per litre, while diesel has surged by around 9p. For drivers, that means it now costs roughly £3.50 more to fill a typical family car with petrol and around £5 extra for diesel compared with just a few weeks ago.
RAC Warns of Further Increases
The RAC says the upward trend is expected to continue, with petrol likely to break the 160p per litre mark and diesel set to approach 180p per litre by the end of the week.
RAC head of policy Simon Williams explained: “Pump prices continued their inevitable rise over the weekend, with unleaded up another 0.6p to an average of 157.81p and diesel a penny to 175.71p.
“The outlook for drivers is pretty grim. It looks highly likely now that petrol will hit 160p a litre – its highest level since the United States/Iran conflict began – and diesel 180p by the end of this week, off the back of an elevated oil price.”
Reasons Behind the Rise
The increase has been driven by the renewed instability in the Middle East. Fighting between the US and Iran intensified after joint American-Israeli strikes targeted key Iranian sites in late February. Iran responded with attacks across the Middle East and shut the Strait of Hormuz, an important shipping route through which around a fifth of the world's traded oil passes.
Although prices briefly eased after the US and Iran agreed a Memorandum of Understanding last month, markets have been unsettled once again following the collapse of the ceasefire, the renewed conflict and the re-closure of the strait.
Mr Williams said: “The price drivers pay at the forecourt depends heavily on the global oil price, which has been rising following the end of the ceasefire.
“A short-term pause in hostilities between the countries is unlikely to be enough to quell the oil price. What's needed is a sustained drop over several weeks and, unless that happens, elevated prices at the pump look like they're here to stay.”
Advice for Drivers
With prices continuing to rise, motorists are being encouraged to shop around before filling up. The RAC expert added: “We continue to encourage drivers to use free apps like myRAC to find the cheapest fuel wherever they are.”
Fuel price comparison platform FuelRadar has also advised drivers to avoid buying fuel at the busiest times of the week. They warn that prices can be higher during periods of increased demand. The company recommends avoiding filling up on Fridays, when people tend to finish work and set off for weekend trips.
