Energy prices have risen to record levels, your average weekly grocery shop has become that much more expensive due to rising inflation, whilst other facets of society have also been on the brunt of price rises too.
One of the most hard-hitting is that of the rising cost of fuel, which hit a 40-year high as petrol cost Bristolians as much as 191.53p a litre, with diesel once priced at 197.3p.
Good news is that experts are expecting the cost of fuel to finally tumble down to more affordable levels, but when is this expected to take place in Bristol? How much will the price change? Here is everything you need to know.
Why has fuel been so expensive in Bristol?
At the peak of the fuel crisis in the country, a majority of people believed that Russia and Vladimir Putin’s invasion of Ukraine was the reason behind the astronomical prices - however, this is not the case.
The main reason behind the sharp increase is down to the price of crude oil, which is a resource used in the make-up of petrol and diesel.
During the Covid-19 pandemic, the cost of crude oil was at an all time low as the demand for energy collapsed.
However, as life slowly got back to normal and opened back up, the demand for crude oil returned and suppliers have since struggled to keep up with it.
This, partnered with the fact that crude oil is paid for using US dollars - with the British pound currency weak in comparison - this has led to making the cost of fuel rise to expensive levels.
What makes up the price of petrol and diesel?
A lot of different things make up the final price of a litre of petrol or diesel in Bristol, whether it be VAT, retail profit and much more.
Here is what makes up the final price of a litre of fuel in Liverpool:
- 45-percent: Cost of petrol or diesel to the supplier
- 29-percent: Fuel duty
- 17-percent: VAT
- 7-percent: Cost of biofuel content
- 2-percent: Profit for the retailer
- 1-percent: The supply and delivery of the fuel
Will the price of petrol and diesel fall in Bristol?
Much to the benefit of Bristolian bank accounts, the price of fuel in Bristol is expected to become more affordable very soon.
This is according to motoring group AA, who have said that the cost of filling up your car will be £10 cheaper as wholesale prices are falling.
Luke Bodset from AA issued the following statement: “Wholesale petrol’s trajectory, if sustained, would lead to savings from the record highs, providing the fuel trade is prepared to pass them on.
“So far this morning (Tuesday, 19 July) even with oil rebounding, wholesale petrol remains below 80.5p a litre.”
“The problem is that, in many places [forecourts], the price cuts are quite simply not happening despite more than six weeks of falling costs.”
Wholesale petrol prices peaked at £1-per-litre at the start of June in 2022, but has since been dropping below 80p a litre.
When will the cost of fuel come down?
The AA are predicting prices of petrol and diesel to plumett in Bristol over the course of the next two weeks.
A price decrease of at least 20p has been predicted for Bristol residents at the pump.
Where are the cheapest fuel stations to buy fuel in Bristol?
With the cost of living crisis crippling families not just in the South West but across the UK, BristolWorld has been updating a list of the cheapest filling stations in the city to buy petrol and diesel daily.
At the time of publication, the lowest price within a 5-mile radius of the city centre is 177.9p for a litre of petrol and 191.9p for a litre of diesel.
For more information, please take a look at the article.