Average petrol prices at UK pumps fell to 135.7p a litre yesterday (24 September), hitting a three-year low.
The fall was the result of lower global demand, combined with a relatively strong pound, with the latter being helped by a fall in the UK’s rate of inflation.
Unleaded prices are now considerably lower than the record-high prices of July 2022, when the average price of a litre of unleaded hit £1.92 after oil prices soared following Russia’s invasion of Ukraine.
RAC fuel spokesperson Simon Williams said: “To see pump prices drop to this level is really positive news, both for households who depend on their vehicles for getting about, and for the wider economy – as there’s a clear link between the cost of fuel and the headline rate of inflation.
“Depending on where drivers fill up, they can be paying as little as £1.26 for a litre of unleaded – making the cost of refuelling a typical family car come in at under £70.”
Diesel prices, which currently stand at around 141p per litre, still have a bit further to fall before they reach a three-year low.
The RAC has said there is scope for pump prices to come down further in the next few weeks to reflect the lower wholesale costs retailers are paying for fresh fuel stocks.
Williams added: “We continue to look forward to the new Government proceeding with its plans to introduce greater pump price transparency with the Pumpwatch scheme, along with an official monitoring function that can help ensure drivers are charged a fair price every time they fill up.”
