There is some optimism that the worst of the price hikes are behind us, but there is little evidence that prices will drop significantly.
According to the most recent data, the pace of fuel price hikes has not slowed, with weekend pump prices reaching new record highs.
According to Experian Catalyst data, the average price of a liter of unleaded gasoline reached 185.04 pence on Sunday, while diesel, the economic engine of the United Kingdom, jumped to 190.92 pence.
The documents were disclosed shortly before the business secretary confirmed that the Competition and Markets Authority had agreed to his request for an “urgent review” of the fuel market in response to concerns about the rate of price increases and whether or not the March 5p-per-litre duty cut from the Treasury had been fully passed on.
The RAC, which has previously urged for greater action on fuel duty and VAT to limit rising costs, stated that the latest pump prices indicated that the Treasury was now earning approximately £46 in tax from the average full tank in the context of the broader cost of living crisis.
On Saturday, fuel reached a record high of more than 191 pence before decreasing marginally the following day.
According to the most recent numbers, the price of gasoline increased by 7.16 pence in the past week, as reported by motoring organizations.
Diesel saw a rise of 5.91p.
However, Luke Bosdet, the AA’s fuel pricing spokesman, stated that there was optimism for stabilisation of prices in the coming weeks, given that the wholesale price of gasoline is currently below its peak reached earlier this month.
“Petrol price increases should cease, at least temporarily, by the end of the week,” he remarked.
“There may still be some gas stations that have not passed on the current cost increase.
“If they continue to rise dramatically after that, we will be curious to hear the gasoline industry’s justifications.
If prices continue to rise, the government will have further grounds for requesting a probe from the Competition and Markets Authority.
“Diesel’s constant price increase continues to be a nightmare, with repercussions for the cost of delivering goods and services and, consequently, inflation.”
