UK Petrol Price Jumps above £1.50 as Oil Costs Rise

Fuel prices have hit record highs in the UK as Russia's invasion of Ukraine continues to affect global oil prices.

The RAC said the average price of petrol jumped to £1.51 a liter on Sunday, while diesel increased to £1.55.

The price of both fuels has jumped since Thursday when Russia began its assault on Ukraine.

RAC fuel spokesman Simon Williams said despite oil prices calming, prices at the pump will continue to rise.

The cost of filling a 55-liter family car with unleaded petrol is now £83, or £85 for diesel.

"This week will be an important one in terms of the oil price as it's likely to reveal the speed of the inevitable upward trend or the extent of the volatility in the market," said Williams.

The price of Brent crude rose by 4.6% to $102 barrel on Monday after Western nations imposed new sanctions on Russia - one of the world's largest energy producers.

Petrol price movements in the UK are mainly determined by the price of crude oil, and the exchange rate between the dollar and the pound, because fuel, like oil, is traded in dollars.

Although the UK imports just 6% of its crude oil from Russia, it would still be affected by global wholesale prices rising.

UK consumers are already paying a high price for fuel, with demand surging following the easing of Covid restrictions.

Steve Irwin, from fuel consultancy firm Portland, told the BBC that prices had risen due to concerns over oil and gas pipelines that travel through Ukraine and carry Russian products.

He said there was "potential for enormous supply disruption" if Russia retaliated to sanctions and used oil "as a weapon".

"It's impossible to know what kind of trajectory we are looking at for oil prices over the coming weeks," he said.

However, Irwin added that price was a bigger concern than supply currently, as the US and Saudi Arabia are also huge oil exporters.