Petrol Price

The average price of a litre of petrol has fallen for the fourth consecutive month, with unleaded sat at 107.82p as October drew to a close. This is down from 109.45p at the start of the month, saving motorists 90p on the cost of filling up a car with a 55-litre tank.

The figures have been released by RAC Fuel Watch, which is reporting the 1.6p litre drop, along with a minimal reduction in the price of diesel. A litre of diesel will now cost an average of 109.95p, which is close to being the lowest since December 2009.

£5.08 less to fill a family car

All of which means it now costs £5.08 less to fill up with unleaded than it did in July. There’s even better news for diesel drivers, with the cost of a full tank dropping by £5.87.

This is despite a 2% rise in the cost of oil, which remains below $50 a barrel. A strong pound certainly helped matters, with a 2% gain on the dollar helping to keep the whole price of petrol and diesel lower.

RAC fuel spokesperson, Simon Williams, said: “We are currently enjoying a sustained period of lower fuel prices as a result of the long-term deflated oil price which has been brought about by OPEC – the Organisation of the Petroleum Exporting Countries – looking to stop competitors taking its share of the market by overproducing and keeping the barrel price low.

“A year ago motorists had probably become accustomed to only ever seeing prices go up so having four consecutive months of the petrol price coming down is a pleasant surprise. Fuel is without doubt the biggest cost of motoring and the forecourt price is a constant cause of concern for drivers which makes this relief at the pumps all the more welcome.”

Prices to stay low?

The RAC is forecasting little change in pump prices over the next fortnight, fuelling speculation that we could be in for a fifth consecutive month of lower prices. Good news for Britain’s motorists.