12/09/2026
Duty Calls
RAC leads calls for fuel duty rises to be scrapped as petrol and diesel prices surge
Published on September 10, 2026
Drilling down
The RAC says the average price of unleaded petrol has risen by 5p a litre in just one week to 167.17p, while diesel has increased by the same amount to 188.63p.
The latest rises mean filling a typical family car costs around £2.75 more than it did just a week earlier.
These increases have followed a sharp rise in crude oil prices, with the price of a barrel averaging around $96 over the past week.
Brent crude subsequently climbed above $100 on Wednesday as attacks on shipping and energy infrastructure intensified after the US attacked Iranian tankers, and Iran retaliated.
The conflict has raised fears about further disruption to supplies passing through the Strait of Hormuz, one of the world’s most important oil transit routes.
Reuters reported that traffic through the strait has fallen sharply following attacks involving the US and Iran, while uncertainty over how much oil is being transported has added a further risk premium to prices.
Fuelling costs
Higher crude prices feed into wholesale petrol and diesel costs, which are then reflected at forecourts.
However, motorists also pay significant tax on every litre purchased.
Fuel duty on petrol and diesel is currently 52.95p a litre, while VAT at 20% is also charged on fuel, including on the duty element.
RAC senior policy officer Rod Dennis said the latest increases demonstrated how vulnerable British motorists were to international events.
“The latest price rises throw into sharp focus just how exposed UK drivers can be to events thousands of miles away,” he said.
Dennis added that there was now a “very strong case” for keeping fuel duty at its current level until at least the end of the Parliament, warning that households were already facing cost-of-living pressures.