Trump Blamed For Pain At The Petrol Pump

Tue 7th Jan 2020

Donald Trump’s military strikes in the Middle East could lead to the price of fuel at the pump escalating higher than some industry experts even predicted.

Where December had seen a drop off in the price of petrol and diesel at a critical time of the year, the new decade saw anticipation of a hike in the price of crude oil due to a slackening off of a trade war between the US and China. The price of a barrel of oil rose by five per cent in December as more lenient tariffs lead to more demand from China for oil, which drove up the price.

And while a trade war was cooling off, the prospect of a real war is likely to add to tension both globally and on the petrol forecourts as the US goes head-to-head with Iran and Iraq.

Luke Bosdet, AA fuel price spokesman, said: “Drivers in the UK need to brace themselves for a rise in the price of road fuel at the start of the new year. 

“With many families looking to pay off Christmas credit card bills, this could make the finances of some more precarious.

“The oil price and wholesale prices had already risen as commodity market players speculated on the impact of better trade relations between the US and China. 

“This had added 2p a litre to the cost of petrol and diesel heading to the pumps, resulting in the UK's average price of petrol jumping from 125.43p a litre before Christmas to 126.68p after the New Year. Likewise, diesel has risen from 129.78p a litre to 131.08p.”

The RAC had also predicted rises at the turn of the year in their own fuel statements but following Trump’s missile strike in Baghdad the company’s spokesman Simon Williams said: “Increasing tension between Washington and Tehran will cause the oil price to go up as traders worry about availability of supply. 

“This will inevitably spell bad news for drivers at the pumps in the UK.”