Red Sea situation and fuel prices - RAC statement

RAC fuel spokesman Simon Williams said: “While tankers avoiding the Suez Canal has the potential to push up the oil price, the barrel is still below $80, $15 lower than it was at the end of September. 

“Talk of this immediately affecting fuel prices is unhelpful as we are still waiting for retailers to fully pass on the savings from much lower wholesale costs. We don’t want to give them a reason not to continuing cutting their prices, especially at the most expensive time of the year. 

“The current 141.7p average price of petrol should fall to nearer 132p if retailers play fair with drivers. This means even if the Red Sea situation worsens, there is no reason for the biggest retailers to push up prices as fuel is still overpriced – a point well illustrated by an independent retailer at Whitchurch in rural Shropshire currently selling petrol for 128p – 10p less than at the big four supermarkets, and 14p cheaper than the UK average.”