Lat week, a litre of unleaded was being sold for 136.15p on average – down 5p since the start of September and almost 7p lower than a month ago – saving nearly £4 for a complete fill-up
Fuel prices are falling at the pumps faster than they have all year.
The RAC said the prices of both unleaded petrol and diesel at UK forecourts are now tumbling quicker than at any other point in 2024 so far, with both fuels now nearly 7p cheaper than a month ago.
Last Thursday (September 19), a litre of unleaded was being sold for 136.15p on average – down 5p since the start of September and almost 7p lower than a month ago – saving nearly £4 for a complete fill-up.
For diesel, the drop is similar with average prices down 5p since the start of the month to 140.87p, and nearly 7p lower than a month ago.
The recent sharp reductions mean that both petrol and diesel are now at their cheapest prices in almost three years. The RAC said depending on where motorists shop, they can find prices well under the average. It added supermarkets are currently charging 133.23p for unleaded and 137.69p for diesel.
There’s more good news for UK drivers as the organisation expects average pump prices to fall to a three-year low as soon as the end of September. It predicted that if prices continue to drop, the average cost of a litre of petrol could dip to as low as 132p and diesel to 138p within the next fortnight. This would be the lowest price drivers have paid for either fuel since July and September 2021 respectively.
The reason for tumbling pump prices is two-fold – a relatively low oil price of $73 brought about by lower global demand, combined with a relatively strong pound.
With fuel traded in US dollars, a stronger pound means UK fuel retailers get more ‘bang for their buck’ when buying in new stock on the wholesale market.
RAC fuel spokesperson Simon Williams said: “It’s really encouraging to see pump prices coming down so rapidly, which we know is as good for drivers’ wallets as it is for keeping the headline level of inflation in check.
“Based on wholesale pump prices, which is what retailers pay to buy the fuel in the first place, we know there’s scope for further price cuts, so we very much hope that within the next few weeks we’ll see pump prices reach their lowest levels in three years.”
