Prices at the pump are going to rise, say RAC experts, after several devastating hurricanes have hit the southern states of America and the Caribbean.
In the wake of Hurricane Harvey, which hit America’s oil-producing regions earlier this month and Hurricane Irma and Jose causing more damage, fuel costs will rise by as much as four pence per litre taking the average price to 121p.
This kind of price hasn’t been seen since December 2014. It is due to one-quarter of the oil refining capacity of America being offline due to the devastation caused by the hurricane. Added to that, demand in the US for petrol has increased, which can also drive up prices.
RAC spokesman, Pete Williams, said: “These issues are already affecting the forecourts in the UK.
“The average price of petrol stood at 117.29 pence per litre at the end of August, while the diesel price was 118.14 pence.
“However, this is likely to rise over coming days to 121 pence for unleaded and around 118.5 pence for diesel.
“This would make it the first time this year that the average price of unleaded would be higher than that of diesel.”
Experts also think the price is liable to stay at these rates for some time, until the oil industry is able to get back to full production levels.