Month sees petrol prices soar
The average price of petrol rose almost 5p between mid-May and mid-June – the second highest monthly increase ever, the AA said today.
The average cost of petrol is now 102.66p a litre compared with 97.68p in mid-May.
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Petrol prices have risen across the UK
The 4.98p-a-litre rise is exceeded only by the 5.61p monthly increase endured by drivers between mid-May and mid-June last year.
The average price of diesel has risen 1.36p since mid-May 2009 and is now 104.85p a litre.
The AA said the 4.98p petrol increase in the last few weeks means:
:: The cost of refilling a typical 50-litre fuel tank has gone up £2.49 in the past month;
:: A family with two petrol cars is spending £10.80 more per month on fuel than in mid May;
:: UK consumers are spending an extra £3,216,196 a day on petrol compared with a month ago.
At present, south west England and Northern Ireland have the most expensive petrol at an average of 103.2p a litre, with northern England having the cheapest (102.3p).
The most expensive diesel is to be found in East Anglia (105.5p a litre) and the cheapest is in north west England and Yorkshire/Humberside (104.1p).
AA president Edmund King said: “At a time of recession, seeing petrol prices rise almost as fast as they did last summer is a bitter pill for UK drivers to swallow – many of whom have lost their jobs, had their pay frozen or have seen savings income collapse with falling interest rates.
“Last year, huge demand for oil and fuels from China and other developing countries incentivised the stock markets to drive up the price of oil.
“This year, with hints of ’green shoots’ and collapsed demand barely beginning to find its feet again, market speculators are again gambling on future oil demand that could turn out to be a fiction.
“So far they have managed to double the price of oil from a December low of 35 dollars a barrel to more than 70 dollars now.”
He went on: “As higher fuel prices siphon money out of their pocket and undermine their ability to spend on the high street, to the average UK driver this is looking like another summer of petrol price madness.
“If we continue to see fuel prices at these levels the Chancellor should abandon all plans for the 2p tax increase in September as that would further dent economic recovery.”
5 Comments
by Chris, Gloucester
Thursday, June 18 2009, 11:51PM
“Well we are at the mercy of the commodity price of a barrel of oil for the first 30p or 40p per litre.
But for the rest of the price, another 65p or so, it's all tax, fuel tax plus VAT.
Can't see the Government playing fair about the tax so we're stuffed.
I don't really mind paying the real cost of the fuel, so I don't really blame the oil companys. The real villan is the Government, and they put this tax higher and higher as time goes by. They play the green card but really it's just revenue like any other tax.”
by Oil Baron, Arabia
Thursday, June 18 2009, 9:04PM
“Still costing me 12p a litre here in the middle east!”
by Not impressed, Gloucester
Thursday, June 18 2009, 8:38PM
“This is the result of bank bailouts and money printing. Expect further falls against the dollar as the UK heads towards state insolvency. Petrol and everything else we import will keep rising. Goodbye recovery and thank you Gordon and your greedy chums in the city.”
by Ian, Cheltenham
Thursday, June 18 2009, 5:20PM
“The petrol companies have now got petrol up to over a £/litre when the price of crude oil is significantly less than it was last year. At this rate of increase should crude oil ever reach $100+ a barrel again petrol will be over £2 a litre, and if does reach this level it will probably never drop below £1.50 a litre again. This is typical of all the energy companies who rapidly install large price increases when the raw material is expensive but when the raw material price reduces only reduce their prices to us by the smallest possible margin as a cynical attempt to placate the masses.”
by phil, cheltenham
Thursday, June 18 2009, 3:24PM
“if this goverment reduced there taxes on fuel we would all be alot happier many transport firm are feeling the pinch and with rising costs are going out of business most people use there car to get to work and it is costing more and more so they have less to spend in the high street this goverment are looking at there wages first stuff everyone else if they want use to spend then give us some money to spend not take it on fuel costs”