Fuel prices hit three-and-a-half-year high
Petrol and diesel prices are now at their highest since mid-October 2014 with worst yet to come.
Ongoing rises in the price of oil – which has now hit $80 a barrel for the first time since mid-November 2014 – mean that the average petrol price has gone up to 126.62p a litre while diesel hit 129.41p.
However, the RAC expects prices to increase by another 2p a litre in the next fortnight – putting pump prices on track to get close to the record levels seen in April 2012 when an average litre of unleaded was 142.48p and diesel was 147.93p.
The latest increase in the price of oil is the result of the United States’ decision to re-impose economic sanctions on Iran, which is the third biggest oil producer in OPEC. However, the oil price has increased by $30 a barrel since last July as a result of OPEC (the Organisation of the Petroleum Exporting Countries) and Russia limiting production to reduce an oversupplied market.For more of the latest industry news, click here.