Fuel Prices

AA looks to halt in fuel price rises

10 May 2010

UK petrol prices that have been hitting new record highs almost every day since 30 March should at least level off in the coming days – albeit temporarily, says the AA.

Wholesale petrol prices have fallen at least 2p a litre in the past week, and would have fallen 3p had the pound not weakened in the wake of the election.

The fall, reflecting the 10% drop in oil prices last week, may only be temporary as the stock markets recover after last week's eurozone turbulence. However, the AA is urging fuel suppliers and retailers to provide whatever respite they can to cash-strapped drivers, particularly in rural areas.

Petrol prices burst through the July 2008 record level of 119.7p a litre on 30 March and have been climbing ever since, now reaching 121.55p a litre.

Comment

"We have to be realistic that this may be only a temporary drop in the wholesale price and we have to recognise that some retailers are down to the bone on their margins. Cash-strapped drivers, however, would welcome any stalling of pump prices that last levelled off at around 112p a litre in February," says Edmund King, the AA's president.

"Talk to any one who works in the country or organisers of volunteer driver services and you will see instantly the severe impact of record pump prices."

Join the discussion in the AA zone

 

11 May 2010