Petrol prices are expected to rise by 2p over the next two weeks following President Donald Trump’s decision to pull out of the Iran nuclear deal on Tuesday.
Last month petrol prices grew by 3p, according to the RAC, and the trend seems to continue as oil prices are expected to grow in the coming months.
RAC fuel spokesman Simon Williams said: “Drivers are already suffering as last month saw almost 3p a litre being added to the average price of petrol and diesel making it the worst monthly fuel price rise since December 2016.
“If another couple of pence a litre goes on a result of the higher oil price and the fact the pound is a four-month low could take the average cost of a litre of unleaded to 126.5p – a price last seen in October 2014 – which would make filling up a 55-litre family car cost nearly £70,” he said.
The price of oil has already climbed from about $75 (£54) to $77 a barrel since the US said it would impose sanctions on Iran, which are expected to hit Iranian oil exports.
Saudi Arabia, the world’s biggest oil exporter, has said it will work to address any gap in output left by Iran, which produces about 4% of worldwide oil supplies.
Khalid al-Falih, the Saudi energy minister, tweeted that the Kingdom would “work closely with major Opec, non-Opec producers and with key consumers to mitigate the effects of any supply shortages.”
Mr Williams reminds drivers that although a “distant memory” it was only early 2016 when the cost of a litre of petrol or diesel stood at under a pound.
The latest anticipated rise comes in an inopportune moment, he says, with drivers “already suffering”.
“If another couple of pence a litre goes on as a result of the higher oil price and the fact the pound is at a four-month low could take the average cost of a litre of unleaded to 126.5p – a price last seen in October 2014 – which would make filling up a 55-litre family car cost nearly £70.”