Fuel prices are predicted to start rising again in the coming weeks after drivers were given a reprieve in April.

April finally brought a break in the cycle of ever-increasing pain at the pumps, RAC data reveals

After three months of fuel prices constantly climbing to new record levels, last month finally brought a break in the cycle of ever-increasing pain at the pumps, RAC data reveals.

The average price of petrol dropped by 0.5p to 162.75p a litre over the course of April, while diesel stayed the same at 177p (177.44p on 1 April and 177.31p on 30 April).

Currently, petrol is 4.5p a litre lower than the record high of 167.3p set on 22 March while diesel is 2.5p below 179.9p recorded on 23 March.

Based on a figure of 40mpg, this means every mile is now costing petrol car drivers 18.5p and diesel drivers nearly 20p.

The big four supermarkets remained the cheapest places to buy fuel in April, with prices starting at 159.38p at Asda, closely followed by Morrisons and Sainsbury’s which were both under 160p. Asda also had the cheapest diesel at an average of 173.12p across its sites – half a penny lower than Morrisons.

The price of oil fell to under $100 three times in April, but the barrel price finished slightly higher than it started the month at $108.62 ($107.52 on 1 April). Meanwhile, the pound lost ground on the dollar, falling from $1.3 to $1.25 over the month, making wholesale fuel more expensive for retailers to buy as fuel is traded in dollars.

RAC fuel spokesman Simon Williams said: “Although the price of oil has cooled considerably, there’s still plenty of uncertainty in the market which is leading to prices jumping around a lot. This, coupled with the exchange rate worsening, isn’t good for drivers and news that the EU is planning to phase out Russian oil is likely to cause the barrel price to rise.”

He also warned that retailers had not passed on savings in wholesale prices in April.

“Instead, the biggest retailers, which buy most frequently, held out, protecting themselves from future rises. They will no doubt feel they were justified in not lowering their forecourt prices as wholesale costs are now rising again, in part due to the pound losing ground on the dollar, making it more expensive for retailers when they buy new stock.”

As a result, retailers’ margins were far higher in April than they were in March.

“RAC Fuel Watch data estimates they took around 4p more a litre than they did over the course of the previous month. This will surely be a disappointment to the Chancellor who cut fuel duty by 5p a litre in the Spring Statement,” added Williams.