The UK average price of diesel rose above £1.50-a-litre for the first time ever over the weekend, according to data revealed by the AA this morning.
The highest price for diesel was 150.50p, while the record for petrol was 146.53p.
Experts described diesel surpassing £1.50 as ‘another milestone along a bleak road of pump prices increases this year’ and warned it could soon spark a rise in the price of goods and services.
Another milestone for record pump prices: The average price of diesel at forecourts around the UK over the weekend surpassed £1.50-a-litre for the first time on record
Motorists have been experiencing all-time-high prices at the pumps for the last three weeks.
The average unleaded price rose 4p per litre above its previous record of 142.48p, which was set on Sunday 24 October 2012.
Diesel rose above the record for the same month in September 2009, when it reached 147.94p Sunday 31 October.
Stats reveal that last month was marked by the largest increase in fuel prices in one month. It jumped a shocking 7.5p per litre.
Although prices continue to rise, and are expected to keep rising in the weeks leading up to Christmas; November is likely to prove to be another pricey month for drivers.
The UK average price of diesel peaked at a high of 150.50p over the weekend, which is the first time on record it has gone above the £1.50 barrier
Luke Bosdet, the AA’s fuel price spokesman warned that increasing diesel costs spark a rise in the price of goods and services if businesses begin pass on escalating costs to their customers.
‘Diesel setting a record of £1.50 a litre isn’t just yet another milestone along a bleak road of pump price increases this year,’ Bosdet said.
As the fuel that drives delivery trucks and craft workers to customers’ homes, it is likely to lead in higher prices for goods and services.
“Many large businesses are able to shield themselves from rising fuel costs by imposing surcharges on delivery.
“If pumps prices increase, customers will pay a higher delivery fee, and it is then passed to the customer.
“But, small businesses in rural areas have no choice but to directly charge customers and shoppers. This can cause problems with customer relationships and could put jobs and contracts at risk.
The rise in fuel prices has driven the price of diesel to increase, according to Mr. He. Other factors are the weakening pound and increasing costs of biofuel.
The last three weeks have seen record fuel prices, with diesel and petrol surpassing their respective previous records on October 31st.
Diesel has become a lot more expensive at wholesale than petrol in the last weeks.
The difference is only 3.5p per Liter at the pump, which suggests that retailers are not raising their prices to reflect this.
‘Diesel drivers can at least take some comfort from knowing that their fuel hasn’t had extra cost lumped on it by fuel traders looking to balance their margins,’ the AA’s fuel expert explained.
“Petrol drivers are paying higher because they have received lower profits from selling diesel at discounted prices to businesses that have contracts or fuel cards. This has been offset by higher petrol margins.
It may seem sensible commercially. However, it may make sense commercially.
The RAC advised drivers last week to be prepared for increased motoring costs as Christmas approaches. This is due to the fact that oil prices have been rising rapidly and will continue to push fuel prices higher.
‘Drivers are desperately in need of some respite at the pumps, but it’s hard to see when that’s going to come and it could well turn into an excruciatingly expensive winter for drivers,’ RAC Fuel Watch’s Simon Williams said.
He stated that the combined effects would be devastating for families living on lower incomes and who depend on their vehicles every day.
“There will be an unwelcome effect on businesses that are heavily dependent on diesel. This will have a knock-on effect for retail prices, potentially increasing inflation.
Record fuel prices come as Britons face rising living costs.
Inflation in supermarkets has reached its highest levels for over a year. Energy bills also rose after the recent rise in the industry’s price cap.
Britons have been facing a severe financial pinch this winter as a result of inflation caused by rising energy costs, labor shortages, and gaps in global supply chain networks.
Exclusive research for the Daily Mail by the Centre for Economics and Business Research (CEBR) reveals how inflation will cost the typical family of four an extra £1,800 by the end of this year, while a retired couple can expect to see living costs rise by more than £1,100, and a lower income couple could be stung by nearly £900.
Simon Williams, RAC, said that drivers must endure high fuel prices at the pump. This is especially true in a period of increasing domestic energy costs, and inflation. The result could make the winter a very expensive one for people with lower incomes.
‘The fact used car prices are so high also means that it’s even more costly for many drivers to upgrade to newer, more efficient vehicles to save themselves money.
‘Our advice to all motorists is to shop around for cheaper fuel and drive as economically as possible – doing both these things can help keep costs in check, at least a little.’
MOTORING: SAVE MONEY
