[an error occurred while processing this directive]
BBC News
watch One-Minute World News
Last Updated: Friday, 7 May, 2004, 12:33 GMT 13:33 UK
Petrol prices reach 80p a litre
Petrol pump
The average UK price of unleaded petrol has breached 80 pence a litre as tensions in the Middle East have sent crude oil prices rocketing.

World oil prices have been simmering around 13-year highs, on fears that escalating instability in Iraq will disrupt supplies from the region.

This has started to have a knock-on effect at Britain's petrol pumps.

According to petrol consultancy Catalyst, the average price of unleaded petrol is now 80.2 pence a litre.

Unhappy truckers

Petrol price graph
Lorry drivers in the UK are already angry at the rise in diesel prices, and some are threatening a repeat of the fuel protests that took place in September 2000.

Diesel prices are averaging 81.3 pence a litre.

A new round of government fuel tax rises in the autumn will add to transport costs, which could stoke more resentment from truckers.

The government is planning a tax rise on diesel of 1.92 pence per litre from 1 September.

Petrol retailers cannot be blamed for price rises at the pumps
Ray Holloway, Retail Motor Industry Federation

"A lot of our members are very unhappy," said Kate Gibbs, spokeswoman for the industry group Road Haulage Association.

"Something is going to have to be done."

'Don't blame us'

The Retail Motor Industry Federation (RMI) defended the rise in petrol prices on the forecourt.

"The rising price of crude oil is pushing up fuel prices, so petrol retailers cannot be blamed for price rises at the pumps," said Ray Holloway from the RMI.

"The local forecourt is at the end of a very long chain, and petrol retailers do not have the kind of influence that can halt an increase in the price of crude oil."

Industry commentators also blamed the weak US dollar for pushing up crude oil prices.




WATCH AND LISTEN
The BBC's Jenny Scott
"Oil prices haven't been this high since the last Gulf War more than 13 years ago"



SEE ALSO:
Mixing oil and US politics
04 Apr 04  |  Business
Opec to go ahead with output cuts
31 Mar 04  |  Business
US petrol prices hit record highs
31 Mar 04  |  Business
Oil boom sparks fuel price surge
22 Mar 04  |  Business


RELATED INTERNET LINKS:
The BBC is not responsible for the content of external internet sites


PRODUCTS AND SERVICES

News Front Page | Africa | Americas | Asia-Pacific | Europe | Middle East | South Asia
UK | Business | Entertainment | Science/Nature | Technology | Health
Have Your Say | In Pictures | Week at a Glance | Country Profiles | In Depth | Programmes
Americas Africa Europe Middle East South Asia Asia Pacific