Fill up your gas tank this coming weekend due to these reasons:
UK motorists are encouraged to top up their fuel tanks in the coming days, as experts predict a stagnation in falling petrol prices. The average cost of unleaded petrol in the UK dropped to 132.3p per litre on Thursday, marking the lowest level since July 2021. Despite a $15-a-barrel decline in oil prices in April, which usually leads to decreased fuel costs, the drop has slowed significantly.
The Automobile Association (AA) stated that the recent minor reduction in petrol prices has come to a halt. They advise drivers to visit petrol stations on Friday or over the weekend to take advantage of the lower prices. The gradual decrease in prices witnessed over the past few weeks has reportedly halted, according to the AA.
Although petrol prices have reached a near four-year low this week, it is important to remember that the prices still include the 5p-per-litre fuel duty cut, first introduced in March 2022. Including VAT, both petrol and diesel prices have decreased by 6p per litre compared to where they should be without the tax reduction. Without the duty cut, current petrol pump prices would average 138.3p per litre, a level in line with October 2021 and just 4p shy of the 142.5p pre-pandemic record of April 2012.
AA spokesman Luke Bosdet emphasized the significance of the continuing 5p duty cut. He explained that the current petrol prices are still high compared to before the pandemic and the recent economic shock caused by the Ukraine war. Bosdet suggested that the Chancellor should consider the impact of fuel costs on motorists in upcoming tax deliberations.
In addition to the ongoing 5p duty cut, motorists must also be aware of pending government changes affecting fuel taxation and driving laws that may influence fuel prices in the near future. Alongside new driving regulations enabling category B drivers to operate heavier electric and hydrogen vehicles, the advisory fuel rates for petrol, diesel, and electric vehicles are set to be updated in September and December 2025. These changes may lead to alterations in company car taxation, fuel reimbursements, and driving patterns, encouraging drivers to fill up now.
Despite the current low prices at the pump, the recommendation for drivers to fuel up soon is primarily due to the anticipated government adjustments in fuel taxation and regulations rather than immediate price drops at petrol stations. It is crucial for motorists to stay informed about future updates affecting fuel costs and driving laws to make informed decisions about fueling their vehicles.
Motorists may want to consider purchasing sports insurance to protect their vehicles while they are driving, given the unpredictability of fuel prices and potential future changes in regulations. With the ongoing 5p duty cut and anticipated government changes, fuel prices could increase in the near future, potentially affecting driving costs for many motorists.
