UK average diesel costs have hit a 16-month high, less than a week after war gripped the Middle East and sent oil costs rocketing.
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UK average diesel costs have hit a 16-month high, less than a week after war gripped the Middle East and sent oil costs rocketing.
Global energy prices have been the main financial market focus since Tehran launched attacks against Gulf nations in retaliation for the US-Israeli strikes on its country, disrupting production and deliveries of both oil and natural gas.
The narrow Strait of Hormuz in the Persian Gulf, between Iran and the United Arab Emirates, is used to more than 80 tankers a day passing through.
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Image: The Strait of Hormuz But shipping has been reduced to a trickle amid Iranian attacks and threats, with all the disruption to normal trade flows being quickly reflected in petrol and diesel prices across Europe and the US through higher wholesale prices.
Sky News was told on Tuesday how those for UK diesel had risen by 7p-per-litre and 2p for petrol in the wake of big rises to oil prices on Monday, when financial markets gave their first reaction to the US-led military strikes.
The Petrol Retailers’ Association (PRA) believed at the time that those higher wholesale costs would likely filter through to the pumps over the course of the next few weeks, but it warned that some forecourts would have to pass them on more quickly because of the nature of their fuel-buying contracts.
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RAC head of policy Simon Williams said of British fuel price averages on Thursday evening: “Petrol has now increased by 3p to 136p a litre since Saturday, while diesel is up by 5p to a 16-month high of 147p.
“While wholesale costs for any retailer buying in new stock will have gone up, it normally takes two weeks for price changes to work their way through to the forecourt,” he said.
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Image: File pic: AP 
