Petrol prices in England have reached a new high, with a litre of unleaded hitting 161.66p over the weekend, according to RAC figures. The price has risen for 33 consecutive days, adding 11p to the cost of a litre, while diesel has increased by 17p in a month, pushing the cost of filling a typical car back above £100.
RAC reports sustained increases
RAC head of policy Simon Williams said: “The price of petrol appears to have finally reached an Iran War peak, having risen 11p over 33 consecutive days.” He noted that a litre of unleaded hit a high of 161.66p at the weekend and has since reduced very slightly to an average of 161.46p.
Williams added: “Diesel, which has rocketed 17p since 9 July, has also stopped going up for now, having reached 182p (181.92p).” He pointed out that this is still almost 10p below its conflict high of 191.54p.
Oil prices and global supply concerns
Williams warned that while prices should fall a little in the coming days, this may be short-lived as the cost of a barrel of oil has climbed almost $10 in the last week towards $90. He said: “The current situation shows just how volatile fuel prices are and how drivers in the UK are at the mercy of global events.”
The International Energy Agency (IEA) has warned that oil stockpiles are rapidly depleting, increasing the urgency around reopening the Strait of Hormuz. The IEA reported that observed stocks had fallen below 7.9 billion barrels for the first time since April 2025.
IEA report highlights risks
The IEA said: “Although the market is projected to return to surplus towards the end of this year, risks remain substantial and the urgency of reopening the Strait has increased, as previously available inventory buffers are rapidly depleting.” It added: “With an agreement enabling the reopening of Hormuz and unhindered transit through the Bab el-Mandeb Strait still elusive, we have again lowered supply estimates for the rest of the year.”
Global oil supply is now forecast to fall by 4.3 million barrels per day in 2026, to 102 million barrels per day, as growth of 1.4 million barrels per day from the Americas only partly offsets losses in the Middle East and Russia.
