Fuel prices could reach 120ppl, warns RAC
24 August 2009
The RAC is calling on the Government to dump the petrol duty price rise planned for 1 September with predictions the price of fuel could hit as much as £1.20 per litre in the coming weeks.
The Treasury is scheduled to add 2.3p to a litre of fuel at the beginning of next month, but the association is calling for a change of mind.
"Average petrol prices will soon be 20p a litre more than they were at the start of the year," said an RAC spokesman. "The rising price of oil is certainly a factor in this, however it does seem to be the case that petrol prices rise quickly when oil goes up but fall slowly when the price of oil drops.
"With the additional increase in December, when VAT reverts back to 17.5%, it's looking more and more likely that petrol prices could hit last summer's record highs of 120p a litre."