Diesel prices in UK the highest in Europe

If motorists in India thought they are paying way too much for either diesel or petrol, spare a thought for their British counterparts. The price of filling up with diesel in the UK is higher than in the rest of Europe, new research has found. 

A new study by the RAC Foundation has found that the UK's average diesel price of £1.13 per litre ((Rs 99.87)) tops the table of the most expensive places to fill up in Europe, well ahead of second-place Italy (£1.10 per litre/Rs 97.22), and significantly more expensive than in Sweden (£1.09/ Rs 96.33) and Denmark (£1.03/ Rs 91.03).

According to the study, the cheapest places to fill up with diesel in Europe are Lithuania (£0.74/ Rs 65.40), Poland (£0.77/ Rs 68.05) and Luxembourg (£0.78/ Rs 68.94).

Compared to these prices, motorists in Mumbai are currently paying Rs 67.11 per litre of petrol, whose price was reduced by Rs 2.25 per litre on July 15. And, tanking up on diesel costs Rs 59.61 a litre, which includes the reduction of 0.42 paise a litre a fortnight ago.

The full table of diesel prices in 28 European countries is listed below:

UK - £1.13 per litre (Rs 99.87)

Italy - £1.10 (Rs 97.22)

Sweden - £1.09 (Rs 96.33)

Denmark - £1.03 (Rs 91.03)

Portugal - £1.03 (Rs 91.03)

The Netherlands - £1.01 (Rs 89.26)

Belgium - £1.00 (Rs 88.38)

Finland - £0.99 (87.50)

Ireland - £0.98 (Rs 86.61)

Malta - £0.97 (Rs 85.73)

Cyprus - £0.96 (Rs 84.84)

France - £0.94 (Rs 83.08)

Romania - £0.94 (Rs 83.08)

Slovenia - £0.94 (Rs 83.08)

Croatia - £0.93 (Rs 82.19)

Germany - £0.92 (Rs 81.31)

Estonia - £0.88 (Rs 77.77)

Greece - £0.88 (Rs 77.77)

Hungary - £0.87 (Rs 76.89)

Spain - £0.87 (Rs 76.89)

Austria - £0.85 (Rs 75.12)

Slovakia - £0.85  (Rs 75.12)

Bulgaria - £0.82 (Rs 72.47)

Czech Republic - £0.82 (Rs 72.47)

Latvia - £0.81 (Rs 71.59)

Luxembourg - £0.78 (Rs 68.94)

Poland - £0.77 (Rs 68.05)

Lithuania - £0.74 (Rs 65.40)

The UK's RAC Foundation says it may be cheaper for drivers heading to Europe this year to fill up with diesel on the continent, rather than in the UK. That said, the driver of a Ford Focus – which has a 55-litre fuel tank – can still expect to pay around £3.30 (Rs 291.65) more to fill up in Europe now than they would have done a week before the EU referendum. Since the UK's vote to leave the EU last month, the value of the pound against the Euro has dropped, meaning bigger bills overall for drivers travelling abroad.

The reason why the UK's diesel price is so high, the RAC Foundation explained, is because it is the only country in Europe where the duty (tax) paid on diesel is the same as that for petrol. The tax rate for both fuels is currently 57.9 pence per litre (Rs 50.38) .

It's a different picture when it comes to petrol prices, however, where the UK is only the eighth most expensive country to fill up in, with an average price of £1.12 per litre (Rs 98.98). The most expensive country is The Netherlands, which charges £1.29 per litre (Rs 114.01), and the cheapest country is Poland, where drivers can expect to pay just £0.81 per litre (Rs 71.59).

In the weeks following the Brexit referendum, motoring bodies, including the RAC roadside assistance group, warned that fuel prices in the UK could rise by as much as 5%. In reality, however, prices have remained largely stable, with the drop in the value of the pound against the US dollar offset by falling oil prices.

Steve Gooding, director of the RAC Foundation said: “What might surprise drivers is that even allowing for the slump in the value of sterling they might still be better off buying diesel on the continent.

“The key message is that pump prices are determined by a whole host of factors. The exchange rate is one of them. The price of oil is another. But taxation is perhaps the most important of all. Before tax, the UK actually has only the 22nd most expensive petrol in the 28 member states of the EU. With tax, we jump to eighth in the league table. For diesel the UK is 23rd before tax, but we soar to the top of the list once tax is added.”

Recommended: Record car manufacturing goal faces Brexit threat, says UK’s SMMT