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RAC calls for falling fuel costs to be passed on

Motors | | Published: 11:54, Wednesday December 17th, 2014.

The RAC is calling for the falling cost of fuel to be passed on to motorists
The RAC is calling for the falling cost of fuel to be passed on to motorists

The RAC has called for the falling cost of oil to passed on to motorists at the petrol pump.

The organisation has said prices should fall to around 114p a litre for petrol and 120p a litre for diesel – prices last seen across the country in March 2010.

Currently, the average price of petrol stands at 120.84p, with diesel at 125.43p whereas at the start of the year petrol was 130.79p a litre and diesel was 138.24p.

In June this year a barrel of crude reached a 2014 high of $115.36 – the highest price since September last year. The current cost is around $70 a barrel at time of press.

RAC fuel spokesman Simon Williams said: “The tumbling oil price, coupled with a pound that is still strong against the dollar, have led to a phenomenon that many motorists are pretty unfamiliar with – falling pump prices.

“The forecast reduction that retailers should be passing on is the biggest the RAC has seen in recent years, even since petrol began to come down from its record high of 142.48p a litre on April 17, 2012, and diesel 147.93p on April 13, 2012.

“Retailers now have a very reasonable record on transparent pricing so we have no reason to believe that they will not pass on the savings in the wholesale price.

“We just urge them to do it sooner rather than later to make the point very clearly to motorists that they operate a fair pricing system.

“If they do, we could well see petrol pump prices fall by well over 7p a litre in the next few weeks and diesel by almost 6p a litre.”

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