UK Government addresses fuel shortage fears as diesel tops £2 per litre

RAC head of policy Simon Williams said price rises are showing "no signs" of slowing down. <i>(Image: Andy Ffrench)</i>

(Image: Andy Ffrench)

Diesel has reached a record price per litre for the first time across the UK.

Figures from the RAC show the average price at forecourts hit 200.01p on Friday, surpassing the previous record of 199.09p set in June 2022 after Russia invaded Ukraine.

Transport minister Keir Mather insisted people should not worry about fuel shortages despite growing pressure from the United States for European nations to release emergency reserves.

Mr Mather said Britain's supply of diesel was "robust" and "resilient", pointing to a wide network of international import partners.

Speaking to Sky News on Friday, he said: "I want to reassure people this morning that the United Kingdom has got a diverse range of supply when it comes to diesel.

"We have resilience built into our system for that reason.

"We are working very closely with our US counterparts to stress the importance of that relationship, and the importance of sustaining flows of diesel around the world, but also working through international fora in the International Energy Agency and partners in Europe from whom we get a proportion of our diesel imports as well."

He added: "Although prices have gone up at the pump, the Government is aware of that and the freeze in fuel duty is still in place.

"People shouldn’t be concerned about shortages because of the inherent resilience that is built into that system."

'Burning a hole in pockets': £110 to fill an average car

Motoring groups warned the surge in pump prices is placing heavy pressure on family finances and businesses.

RAC head of policy Simon Williams said price rises are showing "no signs" of slowing down.

Mr Williams said: "The cost of filling up an average family car is now £110, almost £32 more than it was at the start of the US and Iran war.

"This will be very challenging for households and companies that drive a lot of miles, from commuters, haulage and delivery firms, businesses with large fleets all the way through to sole traders.

"In a cruel twist, it’s diesel vehicles, which were once considered the most cost-effective option for lengthy journeys, that are now burning a hole in people’s pockets."

US demands European allies tap oil reserves

Global diesel supplies have tightened following disruption linked to the conflict involving the US, Israel and Iran, alongside the war between Russia and Ukraine.

Britain imports nearly 55 per cent of its diesel, with almost a third of those imports originating in the US.

Washington has increased pressure on European governments to tap their emergency stockpiles, with US Treasury secretary Scott Bessent calling on allies to act "immediately".

In a post on X on Thursday, Mr Bessent said: "Our European partners should accelerate delivery on their existing commitments and make additional supplies immediately available to address ongoing disruptions.

"American farmers, truckers, and businesses should not be left carrying the burden of a global diesel shortage. America is doing its part.

"We look to our allies to match their commitments with action."

US President Donald Trump told reporters he "may" ask European partners to draw down from their reserves, while also indicating he is "thinking" about a ban on American diesel exports.

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Such a ban would force Britain to compete with other countries for alternative supplies.

Emergency discussions in Brussels

Britain joined crisis discussions with Brussels on Thursday over whether to release fuel stocks, while European Union member states met the European Commission on Friday.

Under International Energy Agency rules, member countries must hold oil stocks equivalent to at least 90 days of net imports to counter severe supply shocks.

Asked on LBC by Nick Ferrari whether he agreed with Mr Trump about releasing reserves, Mr Mather said: "We’re working closely with our European partners on diesel supply. It means we’re continuing those discussions about how we retain our resilience and robustness of our supply chains.

"President Trump is welcome to make those comments, we’ve got to focus here at home about ensuring that we have diversity of supply into our economy.

"Our European partners are absolutely central to that, particularly the flows of diesel coming through the Netherlands."