Petrol and diesel prices have fallen at their fastest rate in 2024 so far, with both fuels now nearly 7p cheaper than just a month ago, according to analysis by RAC Fuel Watch.
As of September 19, the average price for unleaded petrol has dropped to 136.15p per litre, down from 142.86p in mid-August, while diesel has fallen to 140.87p, a significant decrease from 147.74p.
These price reductions, which could save drivers almost £4 per full tank, are the largest seen since late 2023.
RAC analysts expect fuel prices to continue falling, potentially reaching the lowest levels in three years by the end of September.
Simon Williams, the RAC’s fuel spokesperson, said the sharp decline is thanks to a combination of global factors.
A relatively low oil price, currently around $73 a barrel, driven by weak global demand, and a stronger pound have both contributed to driving down prices at the pumps.
“With fuel traded in US dollars, a stronger pound allows UK fuel retailers to buy stock more cheaply. This, alongside falling oil prices, is giving drivers some much-needed relief,” Williams said.
Further Reductions Expected
Williams added that there is still room for further price reductions. “Based on wholesale pump prices, we know there’s scope for even lower prices. We expect to see petrol prices drop to around 132p per litre and diesel to 138p in the coming weeks,” he said.
He urged drivers to shop around for the best deals and use tools such as the myRAC app to ensure they pay the lowest prices possible. “We publish averages to show drivers the maximum they should be paying, but there are some excellent deals out there if you know where to look.”
