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Motoring news

AA warns of huge fuel price hike in April

16/03/2010

Motorists must prepare themselves for a surge in the cost of fuel, according to the AA, which is predicting record prices in the coming weeks.

The motoring organisation is warning that a litre of unleaded fuel could soon hit a record high of £1.20, due to the increasing cost of wholesale petrol. This would mean a gallon would cost around £5.40 by the start of April, when the Government's planned 3p hike in fuel duty is set to come into place.

And the AA is calling for a halt on this extra levy, warning that those on tighter budgets will be hit particularly hard. It estimates that the average two-car family is now paying £52 a month more for petrol than it was at the same time last year, leading to a monthly total of £245.

AA president Edmund King said: "The UK is barely out of recession, yet petrol threatens to rise to record prices seen during the boom of 2008, shortly before the collapse into recession.

"If families, drivers on fixed incomes and those on low pay were unable to cope with prices then, they are even less likely now."

According to petrolprices.com, a litre of unleaded petrol currently costs 116.1p on average, while diesel costs 116.9p per litre. However, in some areas, drivers are already paying up to 126.9p for petrol, and 128.9p for diesel.

In January the AA sounded a "chilling warning" to motorists when petrol prices passed the £5 per gallon mark for the first time in 15 months.

Meanwhile, the RAC said yesterday that the yearly cost of filling a tank now stands at £364 more than in the previous 12 months. The group also urged Chancellor Alistair Darling to re-consider the imminent fuel duty hike.