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Petrol costs at UK forecourts are closing in on 150p a litre as tensions between Russia and Ukraine drive global oil prices higher.
According to the RAC, the average rate for a litre of petrol hit 149.3p on Tuesday – a new record – while diesel was priced at 152.68p.
The motoring organisation warned motorists to expect petrol to hit the “grim milestone” of 150p in coming days.
Prices vary across the country and some forecourts are already charging for fuel at above that average level.
Higher fuel prices have been among the factors behind Britain’s cost of living surge – helping push inflation to a three-decade high.
A recent increase in the oil price after Russian troops entered Ukraine has further added to the upward pressure.
Brent crude surged to $99.50 a barrel earlier this week, its highest level since September 2014, and analysts expect it to push well beyond the $100 level.
Worries about the capacity of oil producing countries to meet resurgent demand have also been behind the increase over recent months.
Demand for oil had plunged during lockdowns leading the price to slump below $20 a barrel in 2020 but it has since rallied sharply with the return of economic activity.
The oil price has rebounded sharply since the early stages of the pandemic
Victoria Scholar, head of investment at Interactive Investor, said: “Strong market fundamentals coupled with the possibility of a Ukraine invasion by Russia means that oil entering triple digits is still very much on the cards.”
RAC fuel spokesman Simon Williams said: “Petrol is sadly creeping ever closer to the shocking landmark of £1.50 a litre.
“With a tank of petrol now costing over £82 and diesel nearly…
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Source : skynews
