Fuel pump prices fall, but not fast enough, say experts
Fuel pump prices have reduced again this week following a
series of price cuts by supermarket forecourts - but they should be still
lower, according to experts.
The average price of a litre of unleaded petrol is now
123.7p, with the average price of a litre of diesel at 133.2p, according to
The price of petrol fell by more than 5p per
litre in November, the biggest monthly drop since January 2015 and the first
major price reduction since June as retailers finally reacted to falling
wholesale prices, said the RAC.
Petrol at the end of November was back to a price last
seen in mid-May whereas diesel went back to its end of September level, said
the motoring organisation.
RAC fuel spokesman Simon Williams said: “This is yet more
good news for motorists but despite Asda cutting their prices regularly the other
supermarkets are sadly lagging way behind. There is often talk of a supermarket
price war over fuel, but this couldn’t be further from the truth at the
However, despite the price falls at the pumps the RAC’s
analysis of wholesale fuel prices showed drivers have been overcharged on the
forecourt to the tune of 10p a litre for unleaded and 7p for diesel, and
average prices should still fall considerably over the course of the next
fortnight if retailers played fair.
But Mr Williams claimed that following sharp falls in the
wholesale price of fuel the average price of a litre of unleaded petrol should
be “at least 8p lower” with a litre of diesel “6p lower”.
Mr Williams continued: “If retailers do the right thing
then it could really soon be Christmas at the pumps. Based on our data, petrol still ought to come down
by 7p a litre in the next two weeks and diesel by 5p.
“Asda’s nearest competitor is currently charging 2.5p more
for a litre of unleaded whereas the most expensive of the big four supermarket
retailers is charging over 4p more per litre. Consequently, the UK average
price of petrol is not falling at the rate it should be due to the dip in the
value of oil.
“The sad reality for drivers is that the majority of fuel
retailers are taking advantage of the falling wholesale price by pocketing the
savings instead of passing them on at the pumps.”