Experts have warned that fuel prices may soon become even more expensive, with cost hikes slated for 2026. The situation has sparked debate over the role of the government and whether current measures are doing enough to protect consumers.
In the face of rising fuel prices, a recent drop in petrol costs provided a brief moment of relief for motorists. However, experts caution that the situation remains far from ideal. With fuel duty increases confirmed and additional financial pressures mounting, the future of fuel pricing remains uncertain, leaving many drivers wondering if they are getting a fair deal at the pumps.
Current Fuel Price Landscape
According to Howard Cox, founder of FairFuelUK, while petrol prices recently fell to their lowest levels since July 2021, they are still unreasonably high. Cox praised the drop in petrol prices, which had fallen below £1.32 per litre, marking a significant reduction. However, he emphasized that prices remain inflated due to what he described as “opportunistic profiteering” within the fuel supply chain.
FairFuelUK’s monitoring platform, PumpWatch, has identified that the full extent of lower wholesale prices is not being passed on to consumers. Despite the average petrol price now being 131.9p per litre, Cox believes it is still around 6p too high, with diesel prices being similarly overpriced by 9p.
The government has yet to introduce effective policies to tackle this issue, with Cox expressing his frustration at both the current Labour government and the former Conservative administration. Both parties, he argued, had failed to address what he sees as an ongoing issue of fuel price manipulation. For Cox, the failure to regulate the industry effectively means that many motorists are left paying more than necessary.
Fuel Duty Increases and Transparency Measures
While some motorists may feel relief from the recent price drop, upcoming increases in fuel duty are set to offset any savings. From September 2026, the Treasury will begin abolishing the freeze on fuel duties, which has been in place for several years. The Chancellor, Rachel Reeves, confirmed that fuel prices will see gradual hikes starting with a 1p per litre increase in September, followed by further rises in December 2026 and March 2027. This will translate into an additional £3 for a full 60-litre tank, placing further strain on drivers’ budgets.
However, the government has introduced a new initiative called Fuel Finder, aimed at improving transparency in the fuel market. This tool, which will allow drivers to compare real-time fuel prices, is expected to help people identify cheaper options and save money. According to the RAC, this initiative will empower the public by providing data that can be used through third-party apps and websites. By enabling greater price comparison, Fuel Finder could offer some relief at a time when everyday costs are rising for many households.
Despite these efforts, many remain sceptical about whether such initiatives will be enough to offset the significant increases in fuel costs that are coming. The combination of rising fuel duties and the ongoing issue of high pump prices leaves drivers wondering if the government’s response will be adequate to safeguard their finances in the coming years.
