Drivers hit by one of the largest monthly fuel price hikes in 23 years
Drivers were hit by one of the biggest monthly fuel price rises in more than two decades in August, new figures show.
The RAC said the 7p per litre spike in the average cost of petrol in August was the fifth largest monthly increase in 23 years.
The 8p per litre hike in diesel prices was the sixth largest over the same period.
The RAC said rising pump prices are being caused by an increase in the cost of oil, which has gone up by nearly 12 US dollars a barrel since the start of July to nearly 87 US dollars due to producing group Opec+ reducing supply.
This led to the wholesale cost of fuel – what retailers pay – going up, which has been passed on to drivers at forecourts.
Galling
RAC fuel spokesman Simon Williams said: “August was a big shock to drivers as they had grown used to seeing far lower prices than last summer’s record highs.
“Seeing £4 or more go on to the cost of a tank in the space of just a few weeks from a pump price rise of 6-7p a litre is galling, particularly for those who drive lots of miles or run an older, less fuel-efficient car.
“While the increase is clearly bad news for drivers, it could have been far worse had the biggest retailers not let their inflated margins from earlier in the year return to more normal levels as wholesale fuel costs went up.”
“All we can hope is that this move by many big retailers back to fairer forecourt pricing remains when wholesale costs go down again. Only time will tell.”
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Isn’t it amazing how prices rise so quickly when oil prices rise but take months – if at all if not shown up – to go down when a barrel falls. Capitalism can be a benefit to us all but not if it is continually allowed to rip the majority of us off!
Big oil and gas taking most of its lessons from organised crime. Indeed their business models evolved at same time in 20thC so maybe Big Oil is now ahead of the game !
Surely the “poor long suffering motorist” should act like a true economic entity and when the price rises should reduce consumption. Most of them have legs which they could use more, or why not get a bicycle? The tax free Cycle to Work scheme is still in operation – [cycle-to-work-scheme-everything-you-need-to-know].