Overview
- The RAC reported on Tuesday that the UK average petrol price reached 159.43p per litre, the highest level since the Iran conflict began, while diesel has eased to about 184.96p per litre from its mid‑April peak.
- The government confirmed it will extend a 5p per‑litre cut to fuel duty for the rest of the year as a near‑term step to reduce costs for drivers, farmers and hauliers.
- The AA says wholesale petrol prices have recently fallen but retailers have been slow to pass savings on, and drivers are advised to use the government Fuel Finder and price‑tracking apps to find cheaper stations.
- Higher pump prices are hitting household budgets and businesses: a 55‑litre petrol tank now costs about £87.69 and the diesel equivalent about £101.73, increases of £14.63 and £23.42 respectively since 28 February.
- The rise reflects wider market pressure from crude above $100 a barrel, shipping disruptions around the Strait of Hormuz and tightened refinery flows, and British Chambers of Commerce research finds around four fifths of firms report current or expected effects from the Iran conflict.