FUEL prices at UK forecourts have fallen to the lowest level since mid-May.
Petrol prices have dropped below 166p per litre giving millions of motorists some relief.
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Figures published by the Department for Business, Energy and Industrial Strategy show a litre of petrol cost an average of 165.5p on Monday, while diesel was 181.1p per litre.
AA fuel price spokesman Luke Bosdet said: “Although the fall in pump prices has slowed in recent weeks, they continue to trickle down steadily.
“This was to be expected as the end of the US summer motoring season eases the pressure on gasoline demand and therefore reduces the wholesale price of petrol in this country.
“At UK street level, petrol prices around 155p a litre are beginning to appear again.”
They are the lowest prices since May 16, coinciding with a fall in wholesale costs due to a drop in oil prices.
The highest average fuel prices for the year so far were recorded on July 4, when petrol was 191.6p per litre and diesel was 199.2p per litre.
Since then, the cost of filling up a typical 55-litre family petrol car has been cut by more than £14, while refuelling diesel models costs nearly £10 less.
RAC fuel spokesman Simon Williams said: “While this is clearly good news, prices should have fallen much further than they have due to the big reduction in the cost of wholesale fuel this summer.
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“The main reason this hasn’t happened is that the big four supermarkets, which dominate UK fuel sales, have refused to pass on savings.
“Average margins are now 19p a litre – 12p more than the long-term average. Petrol should really be on sale for 153p a litre and diesel 175p.
“We hope the Competition and Markets Authority is watching what’s happening closely.”
How can I cut fuel costs?
There are ways to save an extra 5p per litre if you sign up to a major supermarket loyalty schemes.
Esso has partnered with Nectar for its loyalty scheme and you can get 5p off a litre when you swap 300 Nectar points.
Drivers with a BPme rewards card will get one point for every £1 they spend in store or on a litre of regular fuel at a BP garage.
Motorists will get £1 off their fuel or shopping for every 200 points.
Texaco, Shell, Sainsbury’s and Tesco loyalty card holders can also get money off their bills.
You can also cut fuel costs by driving more efficiently. This can be achieved by:
- Accelerating gradually without over-revving
- Always driving on the highest possible gear
- Allowing your car to slow down naturally as your brake
There are also sites you can use to help you find the cheapest petrol prices near you, like PetrolPrices.com and Confused.com.
These allow you to search prices of UK petrol stations. All you need to do is enter in your postcode and tell it how far you want to travel (up to 20 miles).
It’s also so easy to forget about the clutter building up in your car – whether it’s tools, kids’ toys or general rubbish. But it turns out additional storage space can increase fuel costs by a whopping 12%.
So, don’t forget to do a car clear out every now and then.
And, if you’re driving at a slower speed, think about taking the roof rack off and switching off air con to save on running costs.
