Fuel Price Reprieve for Vehicle Owners

It has been a nervy summer for both commercial vehicle and private vehicle owners as prices at the pump threatened to creep back up to the highs of last summer. But average petrol prices have now fallen back to 130p per litre.

Last year, garages across the country were advertising up to 138 pence for a litre of petrol. And it was thought that similar prices might be forced upon motorists this summer. Having dipped back down to 130p, however, it seems that at least in the short-term there has been is a reprieve for those with petrol vehicles.

Put into simple terms, that is an average of a £4 saving for the average petrol tank every time a motorist fills a tank from empty.

Meanwhile diesel vehicle owners are currently paying 134.40p a litre on average, as opposed to more than 142p at its highest during last summer.

Uncertain Future
With unrest continuing in the Middle East and Ukraine the price per barrel of oil has been at a relatively high $115 this summer, but the impact of this has been countered by the strong performance of the British pound.

Should military conflict, international sanctions or the exchange rate change, however, and the recent drop could see a swift reversal.

AA President, Edmund King, said: “Although fuel costs are lower, consumer confidence and spending have yet to recover.”

For commuters and commercial vehicle owners the current reprieve is small comfort, particularly when the new taxation plans for diesel engine vehicles is considered. And it is no surprise that sales of electric and hybrid vehicles also reached an all-time high in the last 12 months.