PETROL WARNING: Prices to soar at pumps this winter to TWO-YEAR HIGH, drivers told

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Motorists could see interrogate prices reach £1.20 a litre in the coming weeks – a level not seen since December 2014 – be at one to motoring group the AA.

Petrol averaged 114.16p a litre yesterday from a short-term exorbitant of 116.96p in early November.

Higher fuel prices and colder suffer could cost drivers an extra £4.30 to £5.65 a tank, according to AA sentiments.

Petrol costs are expected to sharply rise after OPEC – a pile of some of the biggest oil producers in the world – yesterday agreed a deal to cut motion.

Following the news, oil prices have already jumped above $50 a barrel and could stratagem higher still.

In June 2014 prices were at higher than $100 a barrel, but catch oned amid global oversupply.

OPEC’s agreement to production is expected to underpin prices in the short-term, but experts said prices are unlikely to reach album highs a couple of years ago.

Michael Hewson, chief market analyst at CMC Retails UK, said: “It must be noted that the deal agreed will at most return output back to levels last seen in the first half of this year at 32.5m barrels a day, a cut of 1.2m barrels, outstanding from January 1 2017, for six months.

“Even accounting for the cuts hint ated yesterday these new levels will still be at the high end for daily yield for OPEC production over the last 10 year period, at a interval when Russia is still pumping at record levels of 11m barrels a day and US shale canada entrepreneurs are waiting on the sidelines to further increase their own output.”

AA spokesman Luke Bosdet joined: “The question then is, even with OPEC agreement to cut production, whether proceeded abundant supply pulls the oil price back down again.

“The complication is the length of time it takes for that to happen and how high the market sends the appraisal of oil.

“A long spell of higher prices, aggravated by a weak pound, could devastation family budgets as badly as the added cost of winter motoring.”

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