Petrol Is Now The Cheapest It's Been In Years
The cost of petrol and diesel has plummeted due to an oil price war between Saudi Arabia and Russia
Petrol prices are falling fast. Supermarkets are leading the downward charge, with Asda slashing the prices of petrol and diesel by 12p a litre, and Morrisson’s knocking off 8p. Other forecourts aren’t far behind - have a look at the petrol stations in your local area, and you’ll find prices around 102 to 103p per litre to be common.
Yep, close to the mythical £1 per litre mark, which hasn’t been seen since a very brief spell in 2016. Costco fuel stations are already selling petrol for 99.9p a litre at the time of writing (for people with a membership card), and other companies may well follow suit.
It’s the same story on the other side of the pond, with the average price per gallon of gas dropping to $1.99 at the end of March, the first time it’s dipped below the $2 mark in four years.
All of this all down to a crash in the price of crude oil. In March, talks between Saudi Arabia and Russia to decrease production - to account for the drop in demand amidst the Coronavirus pandemic - faltered, which the former nation responded to by upping its output.
The price of a barrel of oil quickly halved and fell as low as $25, the lowest it’s been since 2002. Currently, it sits at $33.70, with the mere talk of Opec (of which Saudi Arabia is a member) curbing production pushing prices back up again.
Cheap-ish fuel might not last for long, in other words, and with all but essential journeys currently banned in the UK to restrict the spread of Covid-19, most of us won’t be able to benefit all that much while prices are down.