UK petrol prices ‘fall’ but drivers told ‘£2 | Tech News
Petrol prices on the pump are edging downwards regardless of the continued Iran battle – but consultants are sounding the alarm: “Do not be fooled by a slight reprieve in fuel costs.” The average price of petrol at present stands at 156.82p per litre, falling from a high of 158.17p on April 13.
Despite the slight dip, prices stay significantly above the pre-war degree of 131.71p per litre. Tensions between the US and Iran proceed to simmer, with the Strait of Hormuz nonetheless but to circulate freely.
US President Donald Trump introduced at the moment that the US is placing on maintain its deliberate operation to escort stranded vessels by way of the Strait of Hormuz. He said that the pause would final “for a short period of time” to find out whether or not a peace deal with Iran “can be finalised”.
Brent Crude oil remained above $100 a barrel on Wednesday morning, considerably greater than the $70 degree recorded previous to the outbreak of hostilities. Experts cautioned motorists towards anticipating any important additional discount in fuel prices.
He added: “Do not be fooled by a slight reprieve in fuel costs. With Captain Calamity in the White House, anything is possible and despite Marco Rubio declaring all the US goals have been achieved, Iran holds all of Trump’s infamous cards.
“This battle is nowhere close to over, and the likelihood of escalation is not only a chance but a probability. £2 per litre shouldn’t be off the desk and motorists ought to buckle up for a bumpy trip.”
He added: “Petrol prices dipping whereas oil stays above $100 could appear contradictory, but it is a traditional case of market lag. Pump prices replicate wholesale refined fuel prices and retailer margins slightly than crude instantly, the so-called ‘rocket and feather’ impact, the place prices spike immediately on dangerous information but fall slowly as circumstances stabilise.
“The current dip to 156.82p suggests the risk premium is easing as traders price in a potential pause in the Strait of Hormuz blockade. However, a return to pre-war levels near 140p remains unlikely while Brent stays above $100, with most analysts placing the floor around 150p. Should the conflict escalate or the blockade tighten, prices could surge toward 170p.
“The Strait carries roughly 20% of world oil, so even with provide bodily flowing, merchants price in insurance coverage towards a sudden shutdown. Recent headlines about a pause offer solely short-term aid. The market stays on a knife-edge till a everlasting diplomatic decision is reached.”
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