Advertisement

Diesel cheaper than petrol for the first time in 10 years

Diesel prices have been cut by 2p per litre, while petrol prices stay the same

Supermarkets across the UK have slashed diesel prices by up to 2p per litre, making diesel cheaper than petrol for the first time in a decade.

Increased diesel supply has pushed the market price down and is allowing supermarket forecourts to cut their prices in an effort to pass the savings to motorists.

Tesco, Asda, Sainsbury’s and Morrisons have all sliced their forecourt diesel prices, with some pumps dropping the prices by up to 2p per litre. Asda-bound motorists are looking to pay a maximum of 112.7p per litre from Tuesday onwards, with petrol currently priced at 113.9p on the cheapest forecourt.

Advertisement - Article continues below

• New UK car tax rules: all you need to know about VED road tax

Records show that the last time diesel was cheaper than petrol was in 2001 – priced at a modest 77.92p per litre, with petrol at 77.94p per litre on average. 

Diesel prices rose within the last decade due to a high uptake of diesel vehicles and slow improvements in UK diesel refining capacity. However a strong British pound and an influx of added supply from the Middle East and other countries has allowed the wholesale price of diesel to drop below petrol. 

More savings in the future

There is also more potential of further price drops in the future, confirmed by RAC fuel spokesman Simon Williams: "With the price of crude oil standing at 56.50 dollars (£36.23) and the pound relatively strong against the US dollar - the fuel trading currency - there is scope for further price cuts of up to 4p per litre off diesel over the next fortnight, and unleaded may even benefit from a slight reduction too due to the continued oversupply of oil.”

• Over 18 million illegal tyres estimated on UK roads

While the 10.7 million diesel drivers in the UK are no doubt rejoicing, RAC confirm that petrol motorists should not feel cheated: “Drivers of unleaded petrol vehicles should not feel short-changed - what we are seeing is the diesel pump price coming down to a level closer to what it should be due to the effects of greater refining capacity in the Middle East.”

"However, if retailers are buying unleaded and diesel in for a similar price, it is right that they are sold on to motorists at a similar price, or cheaper if the diesel wholesale price is lower."

Now read our summary of the 2015 Budget: new road repair fund and car tax overhaul.

Advertisement
Advertisement

Recommended

Check your car's mileage and MoT history
UK MoT tests could become less stringent
Consumer news

Check your car's mileage and MoT history

A Government website allows users to find the entire MoT history of any vehicle plus other details free of charge
5 Jun 2020
UK bosses call for scrappage scheme to kick-start car market
Consumer news

UK bosses call for scrappage scheme to kick-start car market

Government support is essential to boost UK economy, say bosses
4 Jun 2020
Seven-month extension for photocard driving licences
News

Seven-month extension for photocard driving licences

An estimated 1.4 million drivers who would otherwise have had to renew their photocards have been granted an automatic extension
3 Jun 2020
Concerns as rise of connected cars coincides with sharp increase in cyber attacks
Consumer news

Concerns as rise of connected cars coincides with sharp increase in cyber attacks

Some 67 per cent of new cars registered in the UK are ‘connected’, with automotive cyber attacks rising rapidly
27 May 2020

Most Popular

New 2022 Honda Civic Type R hot hatch set to stick with tradition
Honda Civic Type R

New 2022 Honda Civic Type R hot hatch set to stick with tradition

The next Honda Civic Type R will grow in size, but it won’t use a hybrid powertrain. Our exclusive image previews how it could look
5 Jun 2020
New Tesla Model Y 2020 review
Tesla Model Y

New Tesla Model Y 2020 review

The new Tesla Model Y has the potential to be the EV brand’s most successful model yet
4 Jun 2020
New BMW 4 Series: full details, specs and pictures of the 2020 car
BMW 4 Series

New BMW 4 Series: full details, specs and pictures of the 2020 car

The new BMW 4 Series coupe has distanced itself from the 3 Series with bold styling and a huge grille
5 Jun 2020