All UK petrol and diesel drivers have been issued an unwelcome update over prices, with diesel motorists worst-hit. RAC head of policy Simon Williams has warned that prices are not coming down at the pumps quickly enough, amid the Iran war.
Williams said: "Pump prices aren't falling at the rate that our analysis of wholesale data indicates they should, with petrol only having dropped a penny a litre since 15 April and diesel by 2p."
He noted that prices in Northern Ireland have reduced more quickly, with unleaded coming down by 2p and diesel by more than 4p in the last week. The price of oil briefly went back above $100 on Wednesday, having been below that mark for 10 days, which is cause for concern for retailers.
Despite this, the cost of both fuels on the wholesale market is still lower than it has been, particularly for diesel. Williams added: "Drivers really ought to see some cheaper prices at the forecourts in the coming days."
Retail Sales and Consumer Confidence
Excluding the impact of fuel buying, total retail sales rose in Great Britain by 0.2% month on month in March, bouncing back from a 0.6% fall in February. The Office for National Statistics (ONS) said that more than a quarter of firms in its weekly survey expected the price of goods or services they sell to increase next month, the highest since January 2023.
Jacqueline Windsor, head of retail at PwC UK, commented: "Looking ahead to the rest of 2026, there are already signs that consumer confidence is taking a hit. If consumers are forced to spend more on grocery, petrol and utility bills, they will inevitably be forced to rein back their discretionary spending. For most retailers, the first few months of this year are likely to be remembered as the calm before the storm."
