UK drivers filling up at petrol station urged ‘do not assume’

Drivers across the UK are being urged not to “assume” anything when it comes to petrol prices. Consumer group Which? advises drivers not to assume supermarkets always offer the cheapest fuel.

And with prices fluctuating over the past year, it’s worth taking their guidance into account. Earlier this year it wrote: “Even though fuel prices have fallen significantly in recent times, larger supermarket chains still generally offer the lowest forecourt prices. In some areas, though, independent petrol stations can undercut larger firms.

“It’s worth checking which petrol stations are the cheapest locally before you fill up. Websites such as PetrolPrices.com can help, and some sat nav apps, such as Waze, display live prices for stations nearby and on your route.”

Before you leave the station, you may notice an air pump available, making it easy to complete everything in one stop. Experts also recommend that drivers check their tyres, as proper tyre pressure can help improve fuel efficiency.

It recommends: “Make sure your tyres are at the correct pressure as stated in the car’s handbook (or often on a sticker on the driver’s door pillar). Underinflated tyres develop more rolling resistance than correctly inflated tyres, so you’ll have to work your engine slightly harder when there isn’t enough air in them.

“An incorrectly inflated tyre will also affect your car’s braking performance and is likely to wear prematurely or unevenly, meaning you’ll need to change them more often.”

How is the cost of a litre of petrol or diesel priced in the UK?

According to motoring experts at RAC, the price drivers pay for petrol and diesel is primarily determined by wholesale fuel prices – the cost retailers pay before fuel reaches the pump – which are affected by:

• the global price of crude oil, which in turn is governed by:
  • supply and demand for crude oil
  • oil refinery production and capacity
• the pound to dollar exchange rate, as refined fuel is sold in US dollars per metric tonne
• distribution costs
• retailer margin
• fuel duty charged by the Government
• VAT charged at the end of every forecourt fuel transaction

RAC add “While some of these stay largely static – such as VAT – others such as the oil price and dollar to sterling exchange rate can be very volatile. This explains why prices rise and fall. A combination of high oil prices and a weak pound leads to the highest pump prices.”