A reduction in fuel prices last month “should have been far bigger”, according to new analysis.
The RAC said the average price of petrol in the UK fell by 8.4p per litre in December to 151.1p, while the price of diesel dropped by 9.4p per litre to 174.0p. This came after fuel prices decreased by around 6p per litre in November.
But the RAC claimed that wholesale prices mean a litre of petrol and diesel should have been around 11p and 14p cheaper at the end of 2022 respectively. This was even allowing for a retailer profit margin of 10p per litre, which is 3p more than the long-term average.
