RAC warns fuel will reach £2 per litre and calls on UK Government to take ‘drastic action’

Fuel prices continued to break records over the bank holiday prompting calls by the RAC for a further cut in fuel duty.

The motoring organisation has warned the average fuel prices will hit £2 per litre this summer.

The latest average unleaded pump prices stand at 178.5 per litre and diesel at 189.54 per litre.

The price of Brent crude past $124 a barrel last week following the announcement by the European Union that it would slash 90% of its Russian oil imports by the end of this year.

The RAC has called on the UK Government to take drastic action to help soften the impact of the price rises.

As prices at the pumps again reach new highs, 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.”

“The oil price is rising due to 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 $1.2 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.”

“We strongly urge the Government to take drastic action to help soften the impact for drivers from these never-before-seen pump prices.”