Dated: 06 April 2011
Petrol Prices on the Rise Yet Again
A stark warning was issued by motoring groups yesterday. With the increase of petrol prices seemingly continuing unabated, it is feared that by Christmas British motorists could be faced with petrol that costs £1.50 a litre.
This comes as the 1p cut in fuel duty, which Chancellor George Osborne announced during his budget two weeks ago, has already been made redundant by the rising costs.
Quoted in the Daily Mail, Luke Bosdet, a spokesperson for the AA said, “We are sick to death of speculators driving up sky high prices and making massive profits.
“If the pump price gets to £1.40 a litre we are in serious trouble and risk being driven back into recession.
“It’s leading to a fuel Armageddon. People are at breaking point.”
One of the reasons that the UK is paying a record amount for oil is due to the weak state of Sterling against the U.S. dollar – the currency used in the trading of crude oil. This has played a big part in the return to record high petrol prices so soon after the 1p cut.
Looking back to the same period in 2010 we can see exactly how far things have come. Petrol averaged 118.07p a litre, at present it averages 133.55p a litre.
Unfortunately, many think things are going to continue to get worse.
The RAC believes prices are set to carry on rising. Adrian Tink, the RAC’s motoring strategist, said, “Fuel has been rising at 1p a week.
“At this rate we’ll be hitting £1.50 a litre by Christmas. The volatile oil market has meant that drivers have seen very little benefit from the duty cut. Prices are continuing to spiral upwards with no end in sight.”
At times like this, we know that motorists are desperate to do anything they can to reduce their motoring costs.
This is why we cannot stress the use of fuel efficient tyres such as the:
- Michelin Energy Saver
- Hankook K425 Kinergy Eco
- Pirelli P7 Cinturato
These tyres are designed to reduce the rolling resistance and as such can significantly help to reduce the fuel economy of a car. With tyres such as these fitted to your car, the amount of time you need to visit a petrol station will reduce.