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Diesel costs are around 8p per litre higher than they should be due to major reductions in the wholesale price of the fuel, say experts. They warn that the wholesale price of diesel has been “lower than the petrol equivalent for six weeks”.
But despite this, petrol is still being sold for 3.5p a litre less than diesel in a shocking blow to many owners.
RAC experts warn that diesel could be theoretically sold for just 110p a litre which would bring savings to many.
This will still account for a 5p retail profit margin compared to the massive 11p margin currently recorded.
RAC fuel spokesman Simon Williams has urged retailers to drop diesel costs in a desperate attempt to “restore drivers’ trust”.
He said: “Despite this, diesel drivers should feel short-changed by the decision of retailers to keep prices artificially high.
“The price of a litre is currently 8p higher than it should be due to reductions in the wholesale price.
“In fact, the wholesale price of diesel has now been lower than the petrol equivalent for six weeks, yet petrol continues to be sold for 3.5p less than diesel.
“This must surely be difficult for retailers to justify. We strongly urge them to lower their prices in an effort to restore drivers’ trust.
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Diesel costs have marginally fallen for the fifth consecutive week with costs falling from 118.22p in early September to 118.11p.
The cost of diesel hit its lowest level back in May with prices at 111.7p per litre in costs still higher than the RAC’s theoretical best.
The analysis comes just two months after Conservative MP Robert Halfon warned drivers were being “fleeced at the pumps”.
He revealed that drivers were being charged as much as “£10 a tank” to fill up their cars despite the “great financial uncertainty”.
Analysis from consumer watchdog Which? has also revealed retail margins for fuel retailers increased during the height of the pandemic.
These margins rose from around 10p per lore to almost 18p per litre as lockdown was introduced.
Experts at FairFuel UK have also warned that costs were more than 20p higher than they should have been in then shutdown despite major savings.
The RAC’S fresh analysis comes after some positive news for road users as consecutive months of rising prices comes to an end.
Average costs stayed the same in September with a slight reduction for both petrol and diesel owners.
RAC experts now predict that “imminent rises would now appear pretty unlikely” as peak travel comes to an end.
Mr Williams has also predicted that costs could fall across forecourts in just weeks if tougher restrictions are imposed.
He said: “‘While it’s always difficult to predict what’s going to happen with fuel prices, imminent rises would now appear pretty unlikely.
“With the summer travel peak behind us and with ever more coronavirus restrictions being introduced, the demand for fuel is likely to wane.
“The price of oil has already dropped back to below $40 for the first time in two weeks as the increasing number of Covid-19 cases dampened traders’ demand forecasts.
“This coupled with a higher than expected output of oil from oil producer group OPEC could lead to lower prices on the UK’s forecourts in the coming weeks.”
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