Millions of UK motorists hoping that fuel prices at the pump will keep falling have been left disappointed – with claims that diesel in particular should have come down a lot more
Fuel prices flatlined over the weekend for drivers across the country – with the risk they might rise.
Figures from motoring group the RAC found national average for unleaded stood at 157.17p a litre on Monday, with diesel 189.23p. Both were barely changed from Friday. Forecourt prices have eased only slightly from their recent peak on April 15, with unleaded down just over 1p a litre and diesel down 2.3p.
Both are up considerably since before the Middle East conflict began at the end of February, with unleaded about 24p more expensive and diesel up almost 47p a litre.
Meanwhile, the AA says just 1p of a consistently 10p-a-litre fall in wholesale diesel costs heading to UK fuel stations has so far been passed on to drivers. Last week saw the average pump price of diesel across the country drop from an average of 192p a litre to 191p.
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According to the AA, both petrol and diesel have recorded significant drops in the wholesale price that retailers pay since April 7. Diesel initially fell 25p a litre before rebounding but continues to show a reduction of 10p to 15p a litre, it added.
While supermarkets in Northern Ireland have seen a near 4p-a-litre decline in diesel pump prices, the drop has been not more than 10 for the rest of the UK, the AA found.
“Diesel is the road fuel that powers haulage, deliveries, business and much of the rural community. Delivery surcharges are often calculated against average pump prices. The need to bring down diesel pump prices as soon as possible is essential,” says Luke Bosdet, the AA’s spokesman on pump prices.
“Petrol wholesale costs have been hostage to the ups and downs of ceasefire negotiations and a substantial reduction in pump prices doesn’t appear to be on the cards at the moment.”
It came as oil prices jumped almost 3% on Monday as peace talks between the US and Iran stalled and shipments through the Strait of Hormuz remained limited. Brent crude rose $3, or about 2.9%, to $108.36 a barrel, its highest in three weeks.
Hopes of reviving peace efforts receded over the weekend when US President Donald Trump said Iran could telephone if it wants to negotiate an end to their two-month war.
Meanwhile, Iranian Foreign Minister Abbas Araqchi shuttled to and from mediators Pakistan and Oman before flying to Russia, with the US and Iran still seemingly far apart on issues including Iran’s nuclear ambitions and passage through the Strait of Hormuz.
Tehran has largely closed the Strait of Hormuz while Washington has imposed a blockade of Iran’s ports.
Traffic through the waterway remained limited, with only one oil products tanker entering the Gulf on Sunday, Kpler shipping data showed.
Russ Mould, investment director at broker AJ Bell, said: “Brent has now risen by 25% over the past 10 days, illustrating a significant shift in market thinking towards the Middle East crisis. Oil had dropped quickly on April 17 amid hopes of a resolution to the war, but that weakness proved to be a short-lived blip.”
