What's happening to UK petrol and diesel prices now the US and Iran have a deal?
Motorists in the UK could be facing cheaper fuel prices as a result of the US and Iran reaching an agreement to end their war. When the conflict began on 28 February, fuel costs jumped as the war significantly disrupted the production and transportation of energy across the Midd
Motorists in the UK could be facing cheaper fuel prices as a result of the US and Iran reaching an agreement to end their war.
When the conflict began on 28 February, fuel costs jumped as the war significantly disrupted the production and transportation of energy across the Middle East.
However, in recent weeks they have fallen and the framework deal reached between the US and Iran has raised hopes they will fall further.
Motoring group the RAC noted that oil prices have already fallen on news of the deal which "should quickly bring prices down at the pumps".
Crude oil is a key ingredient in petrol and diesel, which means that higher wholesale costs make filling up a car more expensive.
Analysts say every $10 (£7.53) increase in the oil price pushes up pump prices by roughly 7p a litre.
Since the war began, the price of a barrel of Brent crude – the global benchmark for wholesale oil prices – has been very volatile.
Before the conflict, Brent was about $70 a barrel, but the Iran war saw it peak at above $120. The price has been slipping in recent weeks and following news of the framework deal it fell to around $83 a barrel.
