Will petrol prices finally drop?

FUEL retailers were last night under pressure to slash prices by £1.50 a tank after a fall in the amount they pay for petrol.

After 12 consecutive weeks of rising pump prices, wholesale petrol costs have dropped 3p a litre this month.

But average petrol and diesel prices have risen to a four-year high, despite wholesale costs starting to fall from early September.

Petrol hit 131.38p per litre on Tuesday while diesel reached 134.39p, according to the AA.

The figures are the highest since July and August 2014 respectively.

The average cost of filling up a typical family car has risen by £1 or more over the last month – with the average price of petrol rising 1.8p a litre, and diesel rising by 2p. Fuel retailers have been criticised for being quick to increase pump prices when wholesale costs rise, but slow to cut them when their wholesale costs fall.

Luke Bosdet, of the AA, said: ‘In the past, such a significant drop in wholesale prices would have triggered a pump price battle among the supermarkets.

‘Drivers should keep an eye out for competitive oil company sites taking the opportunity to undercut expensive supermarket sites.’