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Daily Mirror
Daily Mirror
National
Felix Reeves & Danya Bazaraa

Drivers warned 'storm clouds are gathering' with petrol and diesel prices to rise

Drivers are being warned that "storm clouds are gathering" with fuel costs rising once again.

Simon Williams, RAC fuel spokesperson, said oil is being traded at the highest price for seven years and wholesale fuel costs are once again increasing.

He said this will "undoubtedly lead to retailers putting up forecourt prices."

Mr Williams spoke of the changing prices and the effect that could have on drivers at a time when other household bills are spiking.

He told The Express : “At long last, retailers appear to have heard our clarion calls for drivers to be charged a fairer price at the pumps.

Drivers are warned 'storm clouds are gathering' (Getty Images/iStockphoto)

“Something that is so important as the effect of high inflation bites and households up and down the country brace themselves for what looks like an inevitable cost of living squeeze.

“On average, retailers are now making a more normal profit for each litre of fuel they sell than they did in December which makes today’s pump prices – although up slightly on December – more justified.

“Storm clouds are gathering, however.

“With oil now having traded above $90 (£66) for a week – the highest price for more than seven years, wholesale fuel costs are once again increasing, which will undoubtedly lead to retailers putting up forecourt prices."

Simon Williams, RAC fuel spokesperson, said oil is being traded at the highest price for seven years (file photo) (REUTERS)

Proposals for a "pump watch monitor" to ensure motorists pay fair prices for fuel are to be examined by the Transport Secretary.

Grant Shapps said he will "pay close attention" to the idea put forward by his Conservative colleague, Robert Halfon.

Such a regulator would examine forecourt prices to see how they match up against rises and falls in crude oil price.

Speaking in the Commons, Mr Halfon (Harlow) welcomed the ongoing fuel duty freeze but warned: "When wholesale oil prices rise, the cost at the pump rockets.

Proposals for a 'pump watch monitor' to ensure motorists pay fair prices for fuel are to be examined by the Transport Secretary (file photo) (REUTERS)

"The RAC and FairFuelUK have shown that average profit margins for diesel have increased by 150 per cent in the last two years, petrol margins at the pumps more than doubling.

"But when the global oil price comes down there's a feather approach in terms of the savings not being transferred to the motorist.

"So will (Mr Shapps) introduce a pump watch monitor to ensure fair prices at the pumps for motorists?"

Fuel costs are rising once again (file photo) (Getty Images)

Mr Shapps replied: "It's genuinely true to say there isn't a more expensive Member of Parliament because the freezes he has persuaded successive chancellors to make are now accumulating to a £1,900 saving to a UK driver every year.

"He's absolutely right about the issue of when prices go up they seem to track very fast and they come down much slower.

"I will pay close attention to his idea."

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