Petrol prices are set to reach record highs of over £1.20 a litre, according to new research by the AA.
Tradesmen and others who rely on their vehicle for work have been warned to brace themselves for the increase, which will be exacerbated by a planned increase in fuel duty.
The Chancellor announced in his last Budget that petrol duty would be raised by 3 pence on 1 April. The AA and RAC have urged him to postpone the increase, saying that it would combine with existing supply issues to push unleaded fuel over £5.40 a gallon.
There is concern that small firms could be hit by the duty increase, hurting their ability to recover from two years of difficult trading conditions. Those on low incomes would also be disproportionately affected by any such rise in petrol prices.
The cost of fuel is a traditional political flashpoint, and the issue looks set to be hotly contested. The RAC and some MPs have pointed out that fuel prices were around just £1 per litre when the duty increase was announced - but that crude and forecourt prices have spiralled since then.
