UK diesel prices have hit a record 199.18p per litre as West Asia conflict disrupts global fuel supplies, tightens diesel availability and pushes up costs for British motorists.
Diesel prices in the UK have hit an all-time high of 199.18 pence per litre, surpassing the previous record of 199.09p set in 2022, according to RAC Fuel Watch data. The rise comes as a tightening global supply of diesel pushes fuel costs higher amid disruptions linked to the West Asia conflict.
The average diesel price has risen by 15p per litre so far in September, while petrol prices have increased by more than 11p to 174.13p a litre. Fuel prices have been contributing to inflation since March, as higher global oil prices feed through to consumers.
Wholesale oil prices are currently above $106 a barrel, compared with around $72 before the conflict. However, diesel prices are rising faster than crude because supplies of refined diesel are under greater pressure. Limited refining capacity means global markets cannot easily replace lost supplies, pushing up competition for available cargoes.
The UK is particularly exposed to the diesel supply squeeze. While domestic refineries produce enough petrol to meet demand, the country produces only about half of the diesel it needs and relies heavily on imports. Historically low fuel storage levels have added to concerns over supply resilience.
Russia has also banned diesel exports and is facing disruptions to its own refining operations, further tightening international supplies. Meanwhile, the US is considering restricting diesel exports to protect domestic stocks. The US accounts for around a third of UK diesel imports following the loss of Russian supplies.
More from BusinessRAC policy head Simon Williams has warned that diesel could rise above £2 a litre if oil prices do not fall sharply and remain lower for a sustained period.
