The petrol station selling fuel 13p cheaper than normal

Yahoo

05-03-2025

The average price of a litre of petrol in the UK has hit its highest level since the end of September, new data from the RAC shows.
It marks a significant turnaround from five months ago, when prices at the pumps were falling at their fastest rate all year.
The cost of a litre of unleaded rose by 0.65p in February 2025, reaching 139.65p, while average diesel prices also went up last month by 0.73p to 146.48p.
'It's disappointing to see pump prices up yet again in February, with drivers now facing some of the highest costs at forecourts since the end of last summer," the RAC said.
However, one independent garage in Shropshire that has found a way to keep its prices lower than some of its larger competitors.
DA Roberts Fuels and Garage in Whitchurch, Shropshire, sells its petrol at 126.9p a litre and diesel at 135.9p a litre - 13p and 9p lower than average - but taking a lower cut in profits.
"We have a smaller margin than a lot of others other garages or supermarkets because we'd rather a low margin, but a high volume of customers," finance director Ricky Allman tells Yahoo News. "I think we have a smaller margin than a lot of others other garages or supermarkets.
"It seems to work well - because we're extremely busy," he adds.
While the RAC described the latest increase as disappointing, prices are still low compared to the highs of more than 170p per litre in recent years
And it's not all bad news, with the RAC saying there is a "good prospect" of fuel prices coming back down this month.
Here, Yahoo News takes a look at why pump prices have risen so much after last year's sustained fall.
The average litre of unleaded petrol hitting 139.65p in February marked the highest price point since 6 September last year according to the RAC's Fuel Watch initiative. As for diesel, which tracked at 146.48p per litre last month, the last time it was that expensive was back in late August.
That means filling a family-sized petrol car now costs £76.81, up almost £3 since the start of October when the price was £73.88 (134.33p a litre).
It was a different story back in September 2024, when fuel prices were falling fast, with average prices at UK forecourts sinking to their lowest level in almost three years.
Those price cuts were as a result of a lower oil price, caused by lower global demand, and a relatively strong UK pound to US dollar exchange rate helped by a fall in UK inflation rates – effectively making it cheaper for retailers to buy the fuel in in the first place.
"With fuel traded in US dollars, a stronger pound means UK fuel retailers get more 'bang for their buck," the RAC said at the time.
The latest hike announced today comes as retailers face higher wholesale costs, driven by the increasing cost of oil which climbed to $82 a barrel in mid-January.
This was primarily due to greater demand in the northern hemisphere caused by the cold snap, along with concerns about possible supply disruptions ahead of Donald Trump's second term in the Oval Office.
However, oil prices - and therefore wholesale fuel prices - have now been falling again for several weeks – meaning pump prices should follow, the RAC says.
Some parts of the UK are more blessed than others, with drivers in Northern Ireland once again paying the lowest prices for their fuel, the RAC said.
At the end of February, the average price of a litre of unleaded there was just 132.9p – nearly 7p less than in the rest of the UK – with diesel at 138.9p, more than 6p less a litre.
Supermarkets often offer cheaper deals, and are currently charging drivers on average 2.3p less per litre of unleaded compared to the UK average and 2.6p less per litre of diesel.
Some sites are charging substantially less, with the RAC reporting supermarkets close to Stoke-on-Trent and Newcastle-upon-Tyne selling unleaded for just 127.7p a litre.
However, prices vary from forecourt to forecourt, though DA Roberts says it has found a way to keep its prices consistently lower.
"We don't look at any other competitors or local garages to see what their prices are. We just work it out on a formula basis. So, if the price we're buying at comes down, our selling price comes down," Ricky Allman says.
"We gain a bit of a reputation that we will look after our customers when and where and where we can and keep up prices competitive. People are struggling with the cost of living, so we try to not profiteer.
Our forecourt sales have been increasing year-on year and have done for a number of years. It's a model that we think works for us.'
Read more
How Trump's tariffs could cost consumers in the US and UK - even if he spares Britain (Sky News)
I won't make Britons cut out meat to meet climate goals, says Starmer (The Independent)
UK car club rollout means drivers can hire EV 'by the minute, hour or day' (BirminghamLive)
_____________________
selling petrol at just 126.9p a litre and diesel at 135.9p a litre
The average price of a litre of petrol in the UK has hit its highest level since the end of September, new data from the RAC shows.
It marks a significant turnaround from five months ago, when prices at the pumps were falling at their fastest rate all year.
The cost of a litre of unleaded rose by 0.65p in February 2025, reaching 139.65p, while average diesel prices also went up last month by 0.73p to 146.48p.
But Yahoo News has spoken to one independent garage in Shropshire has found a way to keep its prices significantly lower than some of its larger competitors.
'It's disappointing to see pump prices up yet again in February, with drivers now facing some of the highest costs at forecourts since the end of last summer," said RAC fuel spokesperson Simon Williams, who said motorists were the "unfortunate casualties of rising wholesale prices through January".
However, it's not all bad news, with the RAC saying there is a "good prospect" of fuel prices coming back down this month, while sharing some advice on how to save money when filling up your motor.
Here, Yahoo News takes a look at why pump prices have risen so much after last year's sustained fall.
The average litre of unleaded petrol hitting 139.65p in February market the highest price point since 6 September last year, when it was 139.81p, according to the RAC's Fuel Watch initiative.
As for diesel, which tracked at 146.48p per litre last month, the last time it was that expensive was back in late August, with an average price of 146.55p.
Filling a family-sized petrol car now costs £76.81, up almost £3 since the start of October when the price was £73.88 (134.33p a litre).
A diesel fill-up today has now surpassed the £80 mark, with the average cost at £80.56 a tank, up more than £4 since early October last year (£76.45 –139p a litre), according to the RAC.
The five-month hike comes as retailers face higher wholesale costs, driven by the increasing cost of oil which climbed to $82 a barrel in mid-January.
This was primarily due to greater demand in the northern hemisphere caused by the cold snap, along with concerns about possible supply disruptions ahead of Donald Trump's second term in the Oval Office.
However, oil prices, and therefore wholesale fuel prices, have now been falling again for several weeks – meaning pump prices should follow, the RAC says.
Fuel prices were falling faster than at any other point in 2024 in September, with average prices at UK forecourts sinking to their lowest level in almost three years.
Petrol and diesel prices across UK forecourts were nearly 7p per litre cheaper than a month ago, galling to 136.2p and 147.7p, respectively.
The price cuts of Summer 2024 were as a result of a lower oil price, caused by lower global demand, and a relatively strong UK pound to US dollar exchange rate – effectively making it cheaper for retailers to buy the fuel in in the first place.
In September, the RAC said: "The reason for tumbling pump prices is two-fold – a relatively low oil price of $73 brought about by lower global demand, combined with a relatively strong pound, with the latter being helped by a fall in the UK's rate of inflation.
"With fuel traded in US dollars, a stronger pound means UK fuel retailers get more 'bang for their buck' when buying in new stock on the wholesale market."
Some parts of the UK are more blessed than others, with drivers in Northern Ireland once again paying the lowest prices for their fuel, the RAC said.
At the end of February, the average price of a litre of unleaded there was just 132.9p – nearly 7p less than in the rest of the UK – with diesel at 138.9p, more than 6p less a litre.
Prices vary from forecourt to forecourt, with an independent Essar-branded site in Whitchurch, Shropshire selling petrol at just 126.9p a litre and diesel at 135.9p a litre as of 1 March.
Drivers able to use these cheaper forecourts could pay just £69.80 for a complete petrol fill-up, which is £7 less than the average UK cost.
Supermarkets often offer cheaper deals, and are currently charging drivers on average 2.3p less per litre of unleaded compared to the UK average and 2.6p less per litre of diesel.
Some sites are charging substantially less, with the RAC reporting supermarkets close to Stoke-on-Trent and Newcastle-upon-Tyne selling unleaded for just 127.7p a litre.
The myRAC app, which is free to download, has a fuel finder feature which lets drivers look for the cheapest deals near them, allowing them to search over a two, five or 10-mile radius.
You can also check out RAC Fuel Watch's webpage, which has information on the average price of petrol and diesel at the big four supermarkets and at motorway services, and graphs showing how average prices have fluctuated since 2000.
Read more
How Trump's tariffs could cost consumers in the US and UK - even if he spares Britain (Sky News)
I won't make Britons cut out meat to meet climate goals, says Starmer (The Independent)
UK car club rollout means drivers can hire EV 'by the minute, hour or day' (BirminghamLive)