Fuel Price update

Diesel price closes on £1.10 a litre

11 January 2008

The UK's average price of diesel at the pump has shot up three-quarters of a penny in two days and, from yesterday's receipts, stands at 109.12 pence per litre or £4.96 a gallon.

"Although hopes are being pinned on a fall in prices in February, the immediate impact is draining family budgets and consumer spending power to a degree no-one could have envisaged this time last year," says Paul Watters, head of AA Public Affairs.

"Diesel drivers are being punished twice: for choosing more fuel efficient vehicles but paying a higher purchase price, and now a dramatically high price for the fuel. They will be asking themselves was diesel a wise choice after all and where this is all this going to end. For most there is no alternative as the fuel economy benefit is still significant for business and higher mileage drivers.

"Most look with envy at continental neighbours where diesel duty is significantly lower than in UK – and diesel is often cheaper than petrol."

Meanwhile, compared to the same time last year, a family with two petrol cars is now paying an added £34.70 a month to keep them on the road.

Latest prices

Latest prices (from yesterday's receipts)

petrol – 104.08 pence per litre,

diesel – 109.12 pence per litre

Petrol price this time last year: 87.89 pence per litre (diesel 92.78)

Difference: petrol 16.19 pence per litre, diesel 16.34

Impacts

  1. UK drivers spent £10,744,420 more yesterday on petrol compared to the same time last year. Of that, £1,600,232 was extra VAT and £1,327,291 duty.
  2. Individually, with a typical 50-litre tank, a petrol refill is costing £8.10 more than this time last year.
  3. At yesterday's price, UK drivers are on average spending per month £17.35 more on petrol than they did at the same time last year. In a two-car owning household, this is a £34.70 added drain on the family budget.

AA Public Affairs