That’s according to the latest AA Fuel Price Report, which also says that the European Commission has indicated that it will promote fuel price regulation, following Austria’s up to 3.6% cut in petrol prices and up to 2.5% reduction in diesel prices since introducing regulation in 2011.

The AA’s research shows that UK petrol pump prices average 131.61p a litre this mid July, down from 131.70p last week. However, a month ago, they averaged 130.47p.

Diesel forecourt prices have also fallen from 136.37p last week to set a mid-July average of 136.08p. A month ago, they were 135.70p.

The AA added that the rise and fall of pump prices reflect oil’s quick increase to $115 a barrel in the third week of June, as Iraq started to disintegrate, and subsequent fall to less than $105 at the start of this week. It added: ‘Despite knee-jerk predictions of a pump price surge, a stronger pound, less speculator activity in the commodity markets and yet another summer of lower-than-expected fuel demand have limited the increase to a summer blip.’

With wholesale petrol back at 45.5p a litre last week, a level which saw pump prices bobble around the 130p-a-litre mark through April and May, this should iron out the summer price wrinkle if sustained.

However, the AA added that UK average diesel pump prices remain overblown. On paper, the wholesale price of diesel has been at or below the wholesale price of petrol since the beginning of July. Yet, diesel remains 4.5p more expensive at the pump – only slightly down from 5.25p in mid June. Part of that is due to the fuel supply and retail industry taking a 1p-a-litre hit on petrol, but loading the loss on diesel, said the organisation.

The AA’s president, Edmund King, said: ‘Despite the scaremongering on pump price rises earlier this summer, the increase was muted compared to what UK drivers have experienced since 2008. That doesn’t mean that commodity market speculation, Middle East oil crises, hurricanes in the Caribbean and other pressures have gone away for good but the fuel price climate has been settled for the moment by slack fuel demand, over-supply and a stronger pound.’