UK Petrol Prices Hit Six-Month Low, but Concerns Remain Over Fuel Costs
Petrol prices in the UK have dropped to their lowest level in six months, according to a recent analysis by the AA. The average price of a litre of petrol has decreased to £1.43 ($1.85), marking the lowest point since mid-February. Diesel prices have also fallen, averaging £1.479 per litre, a level not seen since late January.
Despite the drop, the AA cautioned that the decline in prices offers “little cause for celebration.” The organization noted that before the coronavirus pandemic, the highest average petrol price was £1.425 per litre in April 2012, just slightly lower than current levels.
The AA also highlighted the potential impact of scrapping the 5 pence-per-litre fuel duty cut, which was introduced in March 2022. The motoring organization warned that removing this cut would significantly affect workers earning the national living wage, particularly those who drive substantial distances for their jobs. According to the AA, an employee who fills up their tank once a week would lose 5.9% of the benefit gained from living wage increases over the past two years if the fuel duty cut were removed.
The current fuel duty cut, valued at 6 pence per litre when VAT is included, is only guaranteed until March 2025. AA fuel price spokesman Luke Bosdet expressed concerns over the ongoing high cost of fuel, stating, “Pump prices this summer have given UK drivers little cause for celebration. Although they are well below the record £1.9153 per litre for petrol in July 2022, they remain at a historically high level that continues to strain consumers’ finances.”
Bosdet added that for low-paid workers, the recent increase in the living wage, nearly £2 per hour, is being undermined by the prospect of paying an extra 6 pence per litre for road fuel. “For those already struggling with the cost-of-living crisis, this feels like a significant pay cut,” he said.
UK Petrol Prices Hit Six-Month Low, but Concerns Remain Over Fuel Costs
