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Price at pump ratio to oil prices?

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silvertoothsilvertooth Forumite
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Oil is falling in price like a rock 

they are talking about oil going down under $20

why is the price at the pump not falling to the same degree?

i know there is a bit of a lag but it’s been long enough now

Replies

  • edited 9 March at 10:39AM
    Johno100Johno100 Forumite
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    edited 9 March at 10:39AM
    Quick to go up and extremely slow to come down, it has always been the case. The same applies to home energy as well when the wholesale prices of gas and electricity rise and fall.
  • edited 9 March at 10:48AM
    AdrianCAdrianC Forumite
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    edited 9 March at 10:48AM
    Don't forget that you aren't getting crude oil out of the pump.

    £1.20 at pump
    less 20% VAT = £1
    less 58p fuel duty = 42p
    less retailer's margin, distribution costs, refining costs, marketing costs, other operating costs = the bit that's subject to crude oil price variation...

    As for "but it's been long enough now..."
    Currently - $36.50 for Brent Crude.
    Last week - Friday - $45.27, Thursday - $50, Monday - $51.90.
    Last month - Feb 20 - $58.80
    https://oilprice.com/oil-price-charts/46
  • ToxicWombleToxicWomble Forumite
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    Look on the bright side - it’s still much cheaper per pint than beer in a pub !!
  • ExemplarExemplar Forumite
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    Look on the bright side - it’s still much cheaper per pint than beer in a pub !!
    Our local (in Newark) is now charging £6 a pint. It's Newark not London!!!
    'Just because its on the internet don't believe it 100%'. Abraham Lincoln.
  • AdrianCAdrianC Forumite
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    Exemplar said:
    Look on the bright side - it’s still much cheaper per pint than beer in a pub !!
    Our local (in Newark) is now charging £6 a pint. It's Newark not London!!!
    That wouldn't be my local for very long.
  • peter_the_piperpeter_the_piper Forumite
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    Well the prices seem to be coming down here, it was £1.167 at Asda last Friday, pity my tank was mostly full.
    I'd rather be an Optimist and be proved wrong than a Pessimist and be proved right.
  • silvertoothsilvertooth Forumite
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    Something is wrong when the price of a barrel of oil is cheaper than a full tank of fuel in a normal car

    that is one hell of a mark up
  • nick74nick74 Forumite
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    Something is wrong when the price of a barrel of oil is cheaper than a full tank of fuel in a normal car

    that is one hell of a mark up
    No, it's a hell of a lot of tax.
  • AdrianCAdrianC Forumite
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    Something is wrong when the price of a barrel of oil is cheaper than a full tank of fuel in a normal car
    So pour crude oil into your tank, then. See how far it gets you.
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