Pump prices at six-month high as wholesale prices begin to fall

The average price of a litre of diesel hit its highest level since last August, new pump price analysis suggests.

Figures from the RAC show that average diesel prices went up in February by 0.73p to 146.48p, a price last seen in late August (August 29, 2024 – 146.55p).

The average price of a litre of petrol has hit its highest level since last September, with drivers having now endured five consecutive months of price rises.

The cost of a litre of unleaded rose by 0.65p in February to reach 139.65p. The last time petrol was this expensive was on September 6, 2024, when it was 139.81p. 

Filling a family-sized petrol car now costs £76.81, up almost £3 since the start of October, when the price was £73.88 (134.33p a litre). 

A diesel fill-up today has now surpassed the £80 mark, with the average cost at £80.56 a tank, up more than £4 since early October last year (£76.45 –139p a litre).

RAC fuel spokesperson Simon Williams said: “It’s disappointing to see pump prices up yet again in February, with drivers now facing some of the highest costs at forecourts since the end of last summer.”

Supermarkets are currently charging drivers on average 2.3p less per litre of unleaded compared to the UK average (137.36p compared to 139.65p), and 2.6p less per litre of diesel (143.91p compared to 146.48p). 

Some sites are charging substantially less, with the RAC aware of supermarkets close to Stoke-on-Trent and Newcastle-upon-Tyne selling unleaded for just 127.7p a litre.

Some independent forecourts are also charging significantly less, according to the RAC, with one in Shropshire selling petrol at just 126.9p a litre and diesel at 135.9p a litre. 

Drivers in Northern Ireland paying the lowest prices for their fuel. At the end of February, the average price of a litre of unleaded was just 132.9p – nearly 7p less than in the rest of the UK – with diesel at 138.9p, more than 6p less a litre. 

Higher wholesale costs

Pump prices rose as retailers faced higher wholesale costs, driven by the increasing cost of oil, which climbed to $82 a barrel in mid-January. 

This was primarily due to greater demand in the northern hemisphere caused by the cold weather, along with concerns about possible supply disruptions ahead of the changeover of the United States presidency. 

However, oil prices, and therefore wholesale fuel prices, have now been falling again for several weeks – meaning pump prices should follow, says the RAC.

“Motorists were the unfortunate casualties of rising wholesale prices through January, not helped by global oil prices hitting the $82-a-barrel mark in the middle of the month,” said Williams. “But we hope better times are on the horizon. 

“With wholesale fuel costs falling throughout February, there’s a good prospect petrol and diesel prices will come down this month as retailers buy fresh stock at lower prices. 

“As always, it really does pay to shop around because pump prices at supermarket sites vary by as much as 13p a litre.”

Fleet News has teamed up with Allstar to bring you the UK fuel prices locator, enabling you to compare fuel prices and find the cheapest petrol or diesel in your area.