PETROL PRICES SET TO JUMP

The Scotsman - - Motoring/News Driving Test -

Driv­ers are set to be hit with a price hike on the fore­courts, in­dus­try ob­servers have warned.

Fol­low­ing a small drop in the price of un­leaded petrol in Oc­to­ber costs are ex­pected to jump in com­ing weeks as re­tail­ers move quickly top ass on whole­sale cost in­creases to con­sumers.

The price of a bar­rel of oil jumped nine per cent over the course of Oc­to­ber, go­ing above $60 per bar­rel for the first time since July 2015.

Over the month the price of petrol fell 0.67p per litre to an av­er­age of 118.17p while diesel rose for the fourth month in a row, by 0.59p to 120.8p per litre.

R ac fuel spokesman si­mon Williams said: “At the start of Oc­to­ber there was a 6p sav­ing in the whole­sale price of un­leaded which re­tail­ers even­tu­ally passed on to mo­torists in pump price re­duc­tions. this month, how­ever, the sit­u­a­tion is re­versed and the petrol whole­sale price has gone up by 4p.

“In­evitably, this in­crease will be passed on to mo­torists on the fore­court far more quickly than the cuts were made last month, but that is un­for­tu­nately the na­ture of ‘big’ fuel re­tail­ing: pass on whole­sale rises quickly and cling on to sav­ings for as long as pos­si­ble.

“Mo­torists may yet be spa red from large pump prices if the United States takes ad­van­tage of the higher oil price to bring more frack­ing rigs on­line.

“Eyes will also switch to the Chan­cel­lor who de­liv­ers his Bud­get this month, and with higher whole­sale costs fil­ter­ing down to the fore­courts, the last thing they’ll want to see is an in­crease in fuel duty. We urge the Chan­cel­lor to leave the rate un­changed.”

The av­er­age price of a litre of un­leaded at the UK’S four big­gest su­per­mar­kets is 114.81p – 1p less than it was at the start of Oc­to­ber, while diesel is nearly a penny more ex­pen­sive, go­ing up from 116.82p to 117.72p.

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