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Petrol prices fall as CMA finds “no evidence” retailers took advantage of war – RAC

The CMA said that margins have been similar to those seen in 2025, meaning that pricing strategy has not changed.

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The RAC found that petrol prices have begun to fall from their Iran war peak on 28th May, while diesel prices have continued to decrease, as the Competition and Markets Authority (CMA) found “no evidence” that fuel retailers have taken advantage of the war to increase prices.

The CMA said that margins have been similar to those seen in 2025, meaning that pricing strategy has not changed.

However, it warned that average fuel margins across supermarket and non-supermarket retailers remain at historically high levels, averaging 11.3p per litre.

Sarah Cardell, chief executive of the CMA, said: “We know prices at the pump are putting real pressure on drivers’ pockets.

“While our analysis shows the rise in wholesale prices is the main reason for higher fuel prices, we remain concerned about weak competition in the sector leaving drivers paying more.

“Retailers should be in no doubt that we are continuing to monitor prices and margins closely and expect any reductions in wholesale prices to be rapidly and fully passed on to drivers.

“In the meantime, Fuel Finder can help drivers save up to £9 a tank. The more motorists make use of Fuel Finder-backed services, the better it works – saving money now and driving down prices in the long run.”

Prices today average 159.37p per litre for petrol and 183.75p per litre for diesel.

Diesel prices peaked on 15th April at 191.54p per litre and have fallen since, while petrol’s decline has been smaller and more recent, falling from 159.53p per litre on 28th May.

Prices are up 26.5p per litre and 41.4p per litre for petrol and diesel respectively, since the Iran war began on 28th February.

Simon Williams, head of policy at the RAC, said: “It’s positive to have confirmation retailers haven’t altered their pricing strategies as a result of the Iran war, but it’s worrying the watchdog has concluded competition is still lacking in the road fuel market and that margins are still at historically high levels.

“The Government’s new Fuel Finder, introduced at the start of February, is supposed to help with that but it’s still early days. 

“The August CMA report will be very interesting as it will cover a period of lower wholesale prices. The wholesale price of diesel has already come down considerably but prices at the pumps have only dropped by around 8p since peaking on 15 April at 191.54p. 

“The price of oil has now been under $100 a barrel for almost a week which is another positive sign for drivers and potentially a test for retailers as it should lead to lower forecourt prices.

“In the meantime, we continue to urge drivers to use tools like the free myRAC app to ensure they pay the lowest possible prices every time they fill up.”

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