Average UK fuel prices are fast reaching the £2 a litre mark, bringing yet more pain for drivers.  

The RAC says drivers need to brace themselves for average fuel prices rocketing to £2 a litre

Pump prices had already rocketed over the bank holiday weekend and now the RAC has said that average prices could pass the £2 a litre barrier for the first-time ever after further rises yesterday.

RAC fuel spokesperson Simon Williams said: “The cost of filling a 55-litre family car with petrol has now topped £98 for the first time in history as a result of a litre hitting a new all-time high of 178.5p on Monday. Diesel also rose to yet another record by reaching 185.2p, which takes the cost of a tank to £101.86.  

“With analysts predicting that oil will average $135 a barrel for the rest of this year drivers need to brace themselves for average fuel prices rocketing to £2 a litre, which would mean a fill-up would rise to an unbelievable £110.”    

It follows rising oil prices as a result of increased demand for fuel across the world as China eases its Covid restrictions and America and Europe go into the peak summer driving season.  

“All this combined with a weaker pound at $1.20 means wholesale fuel costs more for retailers to buy. The wholesale price of diesel is fast approaching 160p a litre which, when you add 7p retailer margin and 20% VAT, would take the pump price over the £2 mark,” added Williams.  

The RAC continues to push strongly for the Government to take drastic action to help soften the impact for drivers from these “never-before-seen pump prices”. It’s warning that either a VAT cut or a further reduction in fuel duty are essential to avoid a national crisis for the UK’s 32 million car drivers but also for businesses.