Fuel prices up for 4th month in a row

RAC Fuel WatchThe price of unleaded petrol and diesel has risen for the fourth month running, with June pump prices going up by 1.5p a litre – despite the wholesale cost of fuel rising only slightly.

So why have pump prices gone up by around 6p a gallon? It’s not entirely clear: RAC Fuel Watch data shows that although the pound weakened 7% following the UK’s ‘Brexit’ decision to leave the European Union, oil prices also fell 6%. The wholesale price of fuel was thus largely unaffected.

Despite this, forecourt prices continued their four-month upward trajectory, one that’s seen unleaded go up by more than 10p between March and June. This means the average family petrol car costs £5.64 more to fill up today than it did back in March.

The average diesel car is almost £6 pricier to fill today than in March.

This is “enough to make an unpleasant dent in household budgets up and down the country,” said RAC fuel spokesman Simon Williams, “especially for those who have more than one car or need to fill up regularly.”

“But it is good news that fuel prices are so far weathering the Brexit storm. We may well see pump prices rise slightly in July, but current indications are that that is unlikely to be the shock rise some were predicting.”

This means that although fuel prices have risen, oil prices are unlikely to rise in the foreseeable, so at least prices at the pumps should now begin to stabilise.

“There is also a hope that prices might even fall once various issues that have hindered production around the world are resolved,” added Williams.

Managing Director at @editorial_mr. Runs a bit. Loves the motor industry. https://about.me/richardaucock

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