Petrol prices soars as drivers warned of '150p per litre' this summer

Petrol prices could soar to a staggering 150p per litre this summer in a major blow to cash-strapped road users in July. Tony Redondo, Founder at Cosmos Currency Exchange, has warned prices could hit 150p if oil prices “rocket” due to ongoing conflicts.

It comes as new data from the Department for Energy Security & Net Zero suggests that petrol and diesel fees have increased. According to new Government figures, petrol prices now stand at 133.19p per litre with diesel recorded at 140.58p per litre. It means fuel now stands at its most expensive rate since the end of April with warnings prices could go higher.

Tony explained: “Brent crude oil prices have jumped by 3% in the last two weeks on lingering Middle East tensions, compounded by higher retailer margins as businesses cover the cost of the ‘Awful April’ tax rises.

"There is also speculation that fuel duty may be increased for the first time since 2011 in October’s budget, even though taxes already account for 60% of petrol prices at the pump.

"Prices could rise to 150 per litre if oil prices rocket to $100 if the Iran-Israel conflict reignites or Iran closes the Straits of Hormuz."

According to experts, fighting in the Middle East has caused the cost of a barrel of crude oil to jump from $64 in late May to almost $79 in late June.

The price currently sits at just under $70 although experts fear this could rise further if conflicts continue to escalate.

However, RAC Fuel Watch has explained that “no change” is forecasted for Unleaded and Diesel fees for now.

In some positive news, Samuel Mather-Holgate, Independent Financial Adviser at Mather and Murray Financial, stressed any increases are likely to only be short-term.

He added: “After the first half of the year blighted by tension in the Middle East, petrol prices are sky high. With calmer times potentially ahead, these could retreat just as quickly though.

"Trump may want prices to stay higher for longer to incentivise US oil giants to ‘drill baby drill’, but he won’t like the effect on inflation this causes.

"Higher inflation means higher interest rates, so the possibility that filling up your tank may only be more expensive for a short period will be welcomed by most.”