Petrol prices hit three-year low - RAC comment

Reacting to new data that shows average unleaded petrol prices in the UK have fallen to their lowest level in three years, RAC fuel spokesperson Simon Williams said:

“To see pump prices drop to this level is really positive news, both for households who depend on their vehicles for getting about, and for the wider economy – as there’s a clear link between the cost of fuel and the headline rate of inflation. Depending on where drivers fill up, they can be paying as little as £1.26 for a litre of unleaded – making the cost of refuelling a typical family car come in at under £70.

“A relatively low oil price, caused by lower demand globally, and a relatively strong pound are the two factors that are contributing to pump prices falling.

“Thankfully, we’re now a long way from the record high prices of July 2022 which saw the average price of a litre of unleaded hit £1.92, and we believe there is scope for pump prices to come down further in the next few weeks to reflect the lower wholesale costs retailers are paying when they buy fresh fuel stocks.

“We continue to look forward to the new Government proceeding with its plans to introduce greater pump price transparency with the Pumpwatch scheme, along with an official monitoring function that can help ensure drivers are charged a fair price every time they fill up.”

More data and analysis can be found online at RAC Fuel Watch.