Petrol prices rise at fastest rate in 18 years

The cost of petrol increased by 6p-per-litre in May, the fastest monthly rise for 18 years, according to new data from the RAC.

Unleaded shot up from 123.43p to 129.41p, taking the cost of filling up a 55-litre family car to £71.18 – an increase of £3.29 in just one month. Diesel endured a slightly greater monthly increase of 6.12p – from 126.27p to 132.39p

The rising cost of oil and the weaker pound have been blamed for the price hikes, with the RAC calling May “a hellish month” for motorists as oil broke through the $80 a barrel mark twice over a four week period – something which has not been seen for three and a half years.

“Looking at the bigger picture, there is talk that OPEC – the Organization of the Petroleum Exporting Countries – may agree at its meeting on 22 June in Vienna to change its tack of restricting oil supply,” said RAC fuel spokesman Simon Williams.

The North East has the cheapest average petrol price in the UK (128.24p) while Northern Ireland has the lowest cost for diesel at 131.05p. 

“OPEC, together with Russia have been limiting production with a view to removing the long-term oil glut. This strategy has been successful and, as intended, caused the barrel price to rise,” added Williams.

In May, supermarkets raised petrol by an average of 5.49p-per-litre and diesel by 5.88p while on the motorway, service stations added 6.37p to unleaded, taking it to 144.75p a litre, and 6.69p to diesel making it an eye-watering 147.80p a litre – 15p a litre above average UK prices for both fuels

The North East has the cheapest average petrol price in the UK (128.24p) while Northern Ireland has the cheapest diesel, at 131.05p. The South East is the most expensive place to fill up with petrol or diesel, with a respective 129.83p and 132.73p

There could be better news on the way, however, with the price of oil falling to around $76 a barrel during the first week of June. The RAC forecast average prices to reduce by a penny, which could be a sign that the constant rise in forecourt prices may have stopped for the time being.