Petrol and diesel prices crossover

Clearly the strong supply of crude oil exports is holding prices down and that is feeding through to refined products as motor fuels at filling stations, although only around 33% of the pump price is the cost of oil, fuel production and supply, and profit margin. Various taxes amount to 66% even with the welcome benefit of the Government's fuel duty freeze we have seen since 2011.

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Petrol and diesel prices crossover continues
The reasons to be cheerful just keep on coming for Britain’s diesel drivers. After a week that’s seen more price cuts at all the major supermarkets, it’s now been reported by the BBC that diesel prices in the UK have hit their lowest level in five years. The BBC's Ben Thompson explains why diesel is now cheaper than petrol. More 150814

Fuel prices today at a Shell filling station in southwest London show diesel 1p a litre lower than petrol continuing a trend reported by two motor fuel monitoring websites. Earlier this week in their report above indicated average UK petrol price was 116.49p and diesel 115.72p and the RAC Foundation report on Monday 27th July 2015 indicated the average price of petrol in the UK was 116.96p a litre and diesel 117.26p.

The RAC Foundation 12 month chart alongside shows petrol and diesel prices closing - the 12 month highs were petrol at 131.41p and diesel at 135.51p a litre and lows were petrol at 106.09p and diesel at 113.29p.

Useful contributory factor - fuel duty has been frozen
Fuel duty is currently frozen. In the July 2015 budget the Chancellor confirmed that the planned fuel duty increase by RPI for 1st September 2015 had been cancelled. The rate of duty was last changed in March 2011 when it was reduced by 1p to 57.95p a litre. The duty rate is the same for both petrol and diesel. The rate of duty was last increased on 1st January 2011 from 58.19p to 58.95p a litre.

Update on 14th August 2015
The weekly motor fuel report from shows the crossover with diesel 2.5p a litre lower than petrol continuing a trend reported here at the beginning of August.

The average cost of a litre of diesel is now less than 113p and petrol around 115p and you can find both petrol and diesel fuel for significantly less on plenty of forecourts, especially if you head to one of the supermarket chains. In SW London petrol is available at a fuel station at 111.9p a litre. You can use the tool to find the cheapest fuel around you.