Fuel prices rising pretty fast?

Jlawson118

So I'm new to driving, and I haven't really noticed fuel prices until recently.

I got my car in August and I've been paying approximately £1.12/£1.13 per litre which I deem as fair. But then I came across an old photo that I took a round February time where there was a petrol station and I can't believe it was £1.03 back then :eek:

Anyway, I know fuel prices are always going to be increasing and decreasing, but right now it's kind of shot up to £1.16/£1.17 on average per litre and it wouldn't surprise me if it goes up even more. Although I've been looking at past prices and even seen that the've been £1.34 before now.

I know a lot is to do with Brexit and inflation etc, but I'm also wondering if it works on the time of year too? Like when will it all calm down again? I'm just curious as to why fuel prices do increase and decrease properly..? I'm sorry if this sounds a bit of a dumb post but I'm new to this sort of thing

NCC-1701

The price of fuel just a couple of years ago was around £1.40/litre. The price fell because of over supply and was around £1/litre. The latest rises is due to the fall in the value of the £ as oil is priced in dollars

angrycrow

When I started driving 12 years ago it was around 69p a litre. It is going up very fast. It's not just brexit. If i remember correctly one of the mail oil producers just cut production because they felt the price of oil had got too low. That has pushed the price back up for everyone.

maddogb

blame OPEC they cut back supply, always has this effect combined with increased seasonal demand expect further increases but don't stockpile it will drive prices up faster try use as little as you can.

Hintza

angrycrow wrote: »

When I started driving 12 years ago it was around 69p a litre.

False memory, it was somewhere between 81p-90p/litre in 2004.

BeenThroughItAll

You again with another thread about fuel prices. Have you got some kind of obsession?

AdrianC

Diesel prices are more seasonal than petrol - because it's refined from the same fractions of crude as heating oil, which obviously is more in demand in cold weather than hot.

Historic fuel prices :-
2007 - date, monthly, graphical
http://www.racfoundation.org/data/uk-pump-prices-over-time
1983 - date, annual, table, includes inflation
http://www.speedlimit.org.uk/petrolprices.html

Jlawson118

BeenThroughItAll wrote: »

You again with another thread about fuel prices. Have you got some kind of obsession?

Me again with fuel prices? This is the first one I've posted..my previous question two months ago was regarding the difference in premium and normal fuel seen as it was something I didn't understand..
Hardly about prices..

neilmcl

maddogb wrote: »

blame OPEC they cut back supply, always has this effect combined with increased seasonal demand expect further increases but don't stockpile it will drive prices up faster try use as little as you can.

Actually they haven't cut anything yet and as far as blame is concerned they've been pressured into it by the rest of world worried about low oil prices due to a glut in the market.

Bigphil1474

It's gone up quickly in last couple of months since the £ plummeted. For nostalgia, I remember being at work in 1996 (during Euro 96) and was excitedly telling people that our local Esso petrol station was selling petrol at 50p a litre, when most were selling it for around 55p a litre.

JP08

Well, one year ago the $ was 1.54ish to the £ and fairly steady. Right now it is $1.22 to the pound. Most of this move is post Brexit vote.

Oil was $46 a barrel and is now $52.

About 45% of a barrel of oil becomes petrol.

Play around with those numbers and the raw materials price of petrol goes up by 3p / litre (nearly 4p with VaT). Bulk transportation costs, and transportation to the garage costs have all gone up as are both basically tied to the cost of oil / fuel.

Power costs for refining have also gone up - especially the cost of the stuff that comes across the bulk feed from France, £1 got ϵ1.44, now it's ϵ1.13 so 23% dearer.

The pump price has gone up by (by my own records for my local BP garage purchases) 9p / litre since this time last year (with a dip in prices in the middle corresponding to the dip in oil prices at the same time).

Most of these figures courtesy of the BBC website.