After fuel prices skyrocketed in early 2022, the AA has said that consumers can expect prices to drop.
The UK has seen a stark increase in all areas of life due to the cost of living crisis it is currently facing.
One of the biggest affected industries has been fuel. At its highest point the average price of diesel reached almost £2.
Over the past two years the fuel industry has seen one of the biggest ranges in prices with the price of a litre dipping below £1 during the pandemic and then rising severely in 2022.
The RAC declared the issue a dark day for drivers when a 55 litre tank cost over £100 to fill at the start of june.
So, will the price of fuel decrease for Newcastle?
Here’s everything you need to know about the potential drop in price.
When does the AA expect fuel prices to drop?
The AA has made claims that the cost of filling up a car is set to drop by £10 within the next fortnight.
They added that the price of petrol has dropped by 2.8p a litre from record highs which would take around £1.50 off the overall price of a full tank of fuel.
Wholesale petrol prices peaked above £1 at the start of June and fell below 80p a litre in the last week.
This may support the AA’s claims suggesting that prices could fall as much as 20p per litre at the pump in the coming weeks.
Luke Bosdet at the AA said: “Wholesale petrol’s trajectory, if sustained, would lead to savings from the record highs – providing the fuel trade is prepared to pass them on.
“So far this morning, even with oil rebounding, wholesale petrol remains below 80.5p a litre.”
What is the average price of petrol in the UK?
At the time of publishing the average price of petrol was 188.76p per litre.
At the beginning of July 2022 the average price of petrol was 191.5p per litre so we can see that prices have slowly decreased.
What is the average price of diesel in the UK?
At the time of publishing the average price of diesel was 196.96p per litre.
At the beginning of July 2022 the average price of diesel was 199.1p per litre.
What is the average price of petrol in Newcastle?
The average price for petrol in Newcastle is 177.8p litre.
Why did fuel prices rise so much?
The UK began phasing out Russian oil and EU leaders have said they will block most Russian oil imports come the end of 2022 with the United States also following suit.
Fuel prices went up due to the price of crude oil, which is used to make petrol, and increased significantly.
The demand for energy increased significantly as the world came out of the coronavirus pandemic and were able to travel more locally.