The average price for a litre of petrol at UK forecourts has reached 140.22p – its highest point in almost a decade, RAC data has found.
Petrol prices were last this high nine years ago in September 2012 and are now just 2p off the record high of 142.48p that occurred in April of the same year, according RAC Fuel Watch data.
Prices have also now gone up by nearly 26p a litre from exactly a year ago when the cost was 114.50p.
The rise in fuel follows petrol stations across the UK struggling to top up with fuel last month – due to a result of a shortage of lorry drivers exacerbated by Covid and Brexit.
The cost of the petrol has been driven by the rising cost of a barrel of oil which in the same period has doubled from $41 to $83, according to the RAC.
RAC fuel spokesman Simon Williams told of his concern about the rise, saying: “At a time when households and businesses are facing spiralling prices in other areas this is a huge concern.
“With just two weeks to go until COP26 [climate change conference in Glasgow], the uncomfortable truth for the Government is that petrol prices are now reaching unprecedented levels and, along with rising domestic energy prices, will be putting a huge financial strain on households that depend on their vehicles and, in turn, the economy. We call on the Government to take action and do whatever it can to help ease the burden on drivers.
“While the cost of oil has more than doubled in a year, the price drivers pay at the forecourt is compounded by the fact there is nearly 58p in fuel duty charged on every litre. And, on top of the delivery cost and the retailer’s margin, you’ve then got VAT which currently accounts for 23p a litre – this has added 4p more a litre in just a year.”
Mr Williams also urged the Government to consider temporarily cutting the level of VAT on motor fuel to help hard-pressed drivers.
He added: “While there have been calls for fuel duty to be cut in the past, there is a real risk that any such cut could be swallowed up by retailers rather than benefiting drivers. As VAT is charged on the final cost at the pumps, drivers would see the benefit immediately.”