Forecourt prices not reflecting lesser current wholesale costs: RAC

Motorists are still getting a “raw deal” at the pumps despite a record petrol price drop last month, according to the RAC which stated that average forecourt prices should be around way lesser due to current wholesale costs.  

The organisation said average forecourt prices were 169.8 per litre at the end of August, but should be around 161p due to current wholesale costs. 

The RAC said the last time the delivered wholesale price of petrol was at its current level was in late April, when retailers were charging on average about 162p a litre. 

Despite 12p coming off a litre of petrol last month, “pump prices remain a long way off what the RAC believes are fair given current wholesale fuel costs,” it added. 

RAC said its analysis showed supermarkets were not necessarily the cheapest places for drivers to fill up, with independents in some locations “choosing to undercut them and charge a fairer price”. It added that supermarkets in some parts of the country appeared to be charging much less for the same fuel than in other areas, “much to the frustration of drivers”. 

“Twelve pence a litre is a lot to come off prices in a single month, so there’s no doubt things could be worse, but in reality drivers of petrol vehicles are still invariably getting a raw deal at the pumps,” The Guardian quoted RAC spokesperson Rod Dennis as saying. 

“For whatever reason, major retailers are choosing not to pass on in full the reductions in the wholesale price of unleaded that they have been benefiting from for some considerable time now.” 

“There is a very strong case for the biggest sellers of fuel to cut their forecourt petrol prices further. Allowing for a generous 10p-a-litre margin, we should be seeing petrol sold for around 161p a litre. 

“Some big supermarket sites aren’t too far off charging this – but there’s a real postcode lottery out there, with prices varying wildly depending on where a driver is in the country. 

Earlier this year fuel retailers faced accusations of profiteering as petrol prices hit new highs despite easing wholesale costs.