British motorists are expected to face record-high diesel prices within days, with average UK prices anticipated to reach £2 a litre. This comes as pump prices in Europe and the US have already surpassed all-time highs.
The surge in prices is attributed to a global supply shortage, with about a fifth of the world's diesel supplies erased due to war-damaged refineries in Russia and the Middle East crisis. Output from Russia's refineries has fallen by almost a third over the past year following drone attacks by Ukraine, while the Middle East crisis has severely damaged refineries that once supplied 10% of global fuels.
The average price of diesel across Britain's forecourts has climbed by 54% to 196.28p a litre since the Middle East crisis began in late February. Some forecourts are already charging above £2 a litre.
Donald Trump reportedly urged Ukrainian president Volodymyr Zelenskyy on Sunday to halt strikes on Russian refineries, citing concerns that these attacks are driving up global fuel prices.
Diesel remains a dominant fuel for transport, tools, and services, particularly for independent traders, small business owners, farmers, and logistics companies. Increased fuel costs are expected to be passed on to customers, contributing to inflation.