On Monday, oil hit a 14-year high of $139 a barrel, and despite falling to $125 today, experts fear that oil prices could rise to $240. Some people ahead of me in London charged 219p for a liter of diesel
And as some London pre-sellers charge 219p for a liter of diesel – just £10 a gallon short – experts warn the energy crisis could lead to a “global recession”.
On Monday, oil hit a 14-year high of $139 a barrel, and despite falling to $125 today, experts fear that oil prices could rise to $240.
Research firm Rystad Energy said in a “worst case” there would be a shortfall of 4.3 million bpd in the summer if more countries impose sanctions on Russia’s oil exports.
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Matthew Lofthouse SWNS)
“This is the biggest energy crisis in decades and the impact on the world’s most important commodity is unprecedented,” said Bjornar Tonhaugen, head of oil markets at Rystad.
“Oil at $240 a barrel will cause a global recession.”
A hike in fuel prices will squeeze an already strained family budget amid a cost-of-living crisis that could send inflation up from 5.5% to 8% this spring.
Communities and Local Government Minister Robert Jenrick warned the country was facing “the toughest economic year we’ve ever seen in our lives”.
Anadolu Agency via Getty Images)
RAC figures show diesel rose 3p a litre, from 162.28p on Monday to 165.24p on Tuesday, the biggest daily gain in 22 years. Lead-free has increased from 156.34p to 158.2p.
That means the cost of filling a 55-litre home engine with diesel has hit a record £90.88, up £8 since January, while a tank of unleaded petrol costs £87 UK, up 7 pounds.
The RAC is warning car owners to brace themselves for more price hikes, with unleaded expected to cost an average of 160p a liter over the weekend and diesel at 170p.
In some areas motorists have been paying close to £2 a litre for diesel, with an expected charge in parts of Dorset of 193.9p, while unleaded is almost 18p a litre higher. compared with the UK average of 175.9p.
Image of the Press Association)
And there have been reports of London garages charging 219p a liter for diesel.
Prime Minister Rishi Sunak are under growing pressure to follow Ireland’s lead to ease the burden on motorists by cutting fuel taxes.
Simon Williams, fuel spokesman for the RAC, said: “Average fuel prices rose to a new record on Tuesday.
“Wholesale fuel prices have spiked this week, so more pump price hikes in the coming days are inevitable.
“Gasoline will definitely average £1.60 a liter this week while diesel will move very quickly towards £1.70. We urge the Prime Minister to help drivers by temporarily cutting VAT to at least 15%. As it stands, the 26p a liter that the driver was paying at the time is attributed to VAT and the maximum is 58p a liter in fuel tax.
“This taxation is causing financial hardship for motorists, which is why Mr. Sunak holds the key to easing the burden.”
Ireland announces tax cuts of 20p (17p) a liter on petrol and 15p (13p) on diesel, cuts of 12 euros (£10) for family cars on petrol and 9 euros (£7.52) pounds) for diesel.
Great Britain relies on Russia for 8% of its oil, but on Tuesday announced it would phase out imports by the end of the year. Downing Street implies that Boris Johnson could turn around and end the UK’s mining ban to ease the problems caused by soaring oil and gas prices.
But that will fly as the Tories’ 2019 manifesto promises: “We will not support jailbreaking unless the science clearly shows that it can be done safely.”
A spokesman for the Prime Minister said: “The demolition moratorium still applies.
“But you would expect the Prime Minister to consider all options based on what has happened in UkraineDue to rising oil and gas prices, wholesale prices and influence are having in the UK. ”
The International Energy Agency is in talks with member states to release a stockpile of 60 million barrels of oil to help lower prices.
“We are rushing to put together a 10-point action plan to cut oil use,” said CEO Faith Birol. In the oil markets, the toughest months are the summer months, known as the ‘driving season’, when demand is high. “
Families are also facing increased grocery bills as prices for bread, cheese, baked beans, rice and cereals all rose for a year.
A 415g can of Heinz Beanz was £1, up from 85p, Kingsmill soft white medium sliced bread was up 8p at £1.03 and Tilda basmati rice (250g) was up from £1.18 to £1.23 .
With the energy price cap rising from £1,277 to £1,971 on April 1, and predicted to hit £3,000 by October, millions of families face further hardship this year.
AFP via Getty Images)
Food poverty campaigner Jack Monroe told MPs on the Employment and Pensions Committee that the cost of living crisis will hit children hardest and in some cases will be “dead”.
She said: “A £20 a week grocer a few years ago could get around two-thirds of what you can get for that £20 now.
“And it’s not the people who decide not to go to the theater or not have a leg of a lamb or a bottle of champagne – it’s the people who decide. “We won’t eat on Tuesday or Thursday this week” or “We’ll turn off the heater” or “We’ll skip meals.” “
https://www.mirror.co.uk/money/motorists-face-paying-10-gallon-26429849 The cost of filling a family hatchback soars to £90 as the Ukraine invasion triggers an oil crisis