Motorists are still grappling with steep petrol and diesel prices as industry experts criticize major retailers and supermarkets for raising prices amid distractions like the General Election.
According to data from the RAC, drivers are getting a “very poor deal” whenever they refuel, with petrol averaging 146.238p per litre and diesel at 151.5p. The RAC notes that these prices are significantly higher than they should be, especially considering the drop in wholesale costs since April, potentially influenced by the General Election.
Compared to other European countries, UK drivers face some of the highest fuel costs, particularly with diesel being 20p above the EU average and 8p more than in Finland, the next most expensive country.
Retailer margins on petrol are currently at 14p and 16p on diesel, much higher than the long-term averages of around 8p. Simon Williams from the RAC remarks that despite a CMA report highlighting overcharging of £900 million in 2022, pump prices haven’t adjusted proportionally to wholesale drops, leaving UK drivers at a financial disadvantage.
Williams suggests that retailers in Great Britain should significantly reduce their prices at the pumps, speculating that the General Election distraction might be helping retailers get away with maintaining high prices.
The overcharging translates to an extra £3 for petrol and £5.50 for diesel per fill-up for standard 55-litre cars, with the average full tank now costing over £80.
A proposed PumpWatch scheme supported by most political parties aims to empower motorists to monitor fuel prices and encourage competition among retailers and supermarkets to lower prices, similar to the situation in Northern Ireland where prices are notably cheaper.
The Consumer Council Fuel Price Checker indicates significant price cuts in Northern Ireland, with drivers there paying up to 10p less per litre compared to the rest of the UK.
Williams emphasizes the need for the CMA to intervene and align retailers with fairer pricing, especially given the stark price differences within the UK itself.