Record petrol prices reach new highs amid supply shortages
Petrol prices topped 146p for the first time ever on Thursday, according RAC Fuel Watch.
The motoring group’s data shows the average price of petrol has topped 146p a litre for the first time ever.
Diesel is also at an all-time high of 149.66p.
Chancellor Rishi Sunak’s has pledged to freeze fuel duty for the 12th consecutive year, but drivers remain exposed to spiralling costs.
Petrol prices have continued since the previous record high of 142.48p on 24 October, increasing by 3.5p in less than three weeks.
Diesel also climbed another 2p since breaking records at the start of the month, and is closing in on 150p a litre.
This now means filling up a 55-litre family car with unleaded petrol has now topped £80 for the first time ever, and £82 for a full diesel tank.
Petrol pumps: a consumption crisis amid global shortages
Fuel costs have risen as consumption demand has increased following the easing of pandemic restrictions.
Meanwhile global supplies have fallen worldwide, and oil prices have risen to over $80 a barrel.
RAC has also suggested that petrol retailers are taking a bigger cut from fuel to make up for Covid-19 losses.
Meanwhile, the government is looking to push through powers giving ministers control of downstream oil industries during future supply shortages .
Commenting on the current crisis, fuel spokesperson Simon Williams: “Drivers are desperately in need of some respite at the pumps, but it’s hard to see when that’s going to come and it could well turn into an excruciatingly expensive winter for drivers. Oil is still trading well above $80 and the cost of the bio components of both fuels are higher than ever and retailers are still taking more margin per litre than they traditionally do.
“The combined effect is going to be hard for many families on lower incomes who depend on their cars day to day. There will also be a very unwelcome impact on businesses, which tend to be very dependent on diesel, and, in turn, this will lead to a knock-on effect on retail prices potentially adding more fuel to the fire of rising inflation.”