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June sees forecourt fuel fall by 2p a litre for second month in a row

Press Release   •   Jul 05, 2017 09:00 BST

Fuel prices have fallen by 2p a litre for the second month in a row, data from the latest RAC Fuel Watch* report reveals.

A litre of unleaded now costs an average of 114.71p compared to 116.69p at the start of June. Diesel has fallen slightly more at 2.2p a litre from 117.77p to 115.57p. The average price at Britain’s four major supermarkets is 111.73p for petrol and 112.32p for diesel.

The average price of fuel is considerably lower than it was in February when a litre of unleaded was around 120p and diesel 122p. This means a tank of petrol is now around £3 cheaper (£2.91) than it was in February and diesel £3.54 cheaper.

Compared to May a tank of unleaded for a typical 55-litre family car is now £1.09 cheaper at £63.09 and the equivalent diesel fill-up is £1.21 less at £63.56.

The reductions are a result of a mid-month substantial drop in the oil price which saw a barrel go as low as $44.23 on 20 June. Across the month the oil price fell by 6% – starting June at $50.12 a barrel and finishing at $47.13 – which in turn caused the wholesale price of petrol to reduce by more than 3p a litre.

RAC fuel spokesman Simon Williams said: “June has been a good month for motorists, bringing a 2p reduction in pump prices, following on nicely from a similar drop in May. As wholesale prices have come down in response to a falling oil price retailers have done the right thing and passed their savings on to motorists on the forecourt.

“It has also been good to see retailers bringing the price of diesel in line with petrol as the wholesale price of diesel has been cheaper than petrol for some considerable time and right now they are broadly the same.

“But while it’s definitely positive to see pump prices so much lower than they were at the start of the year – especially with the summer holidays just around the corner – the overriding message to motorists has to be one of caution as it seems unlikely that the oil price will stay this low for very long.

“Oil producers group OPEC has been trying to shore up the oil price for months but the market is still oversupplied, mostly as a result of the United States’ increased production from fracking together with increased output from OPEC producers Libya and Nigeria, which are exempt from the organisation’s productions cuts.”

Regional fuel price variation

The North East saw the biggest fall in the price of unleaded with a litre coming down by 2.2p in June from 116.2p to 114p. Northern Ireland, however, started and finished the month with the cheapest fuel in the UK, with a litre now standing at 113.79p. The South East was once again the most expensive at 115.26p a litre.

London saw the greatest drop in the price of diesel with a litre reducing by 2.49p. The North East recorded the lowest end of month price at 114.46p and the South East the dearest at 116.23p.


Regional average unleaded pump prices

Unleaded 01/06/2017 29/06/2017 Change
UK average 116.69 114.71 -1.98
North East 116.20 114.00 -2.20
Wales 116.09 113.94 -2.15
Northern Ireland 115.93 113.79 -2.14
West Midlands 116.88 114.82 -2.06
East Midlands 116.61 114.57 -2.04
South West 116.71 114.71 -2.00
East 116.85 114.88 -1.97
South East 117.23 115.26 -1.97
North West 116.68 114.73 -1.95
London 116.85 114.94 -1.91
Scotland 116.30 114.49 -1.81
Yorkshire And The Humber 116.32 114.55 -1.77

Regional average diesel pump prices

Diesel 01/06/2017 29/06/2017 Change
UK average 117.77 115.57 -2.20
London 118.12 115.63 -2.49
North East 116.94 114.46 -2.48
West Midlands 117.86 115.43 -2.43
East 118.18 115.86 -2.32
South East 118.47 116.23 -2.24
South West 117.95 115.77 -2.18
East Midlands 117.48 115.39 -2.09
North West 117.67 115.60 -2.07
Scotland 117.74 115.68 -2.06
Wales 117.20 115.15 -2.05
Yorkshire And The Humber 117.32 115.30 -2.02
Northern Ireland 116.57 114.59 -1.98

Motorists can keep abreast of the latest fuel prices by visiting: rac.co.uk/fuelwatch or following #racfuelwatch on Twitter.

Notes to Editors

* Average fuel prices quoted in the RAC Fuel Watch June report are based on Experian Catalist data from 1 June to 29 June 2017.

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