The cost of fuel at two Wellington service stations has fallen below £1 per litre – for the first time since May 2009. Wellington Service Station on Westpark 26 and the BP Connect Service Station in Mantle Street are both selling diesel and unleaded petrol at 99.9p per litre. Local motorists and businesses can now take advantage of the same low fuel prices offered by large supermarket chains.
Fuel prices have been falling for months but forecourt prices have not fallen below the £1 per litre threshold until now. This week Chancellor Gordon Osborne insisted that petrol retailers slash their prices following the continuing fall in the price of oil on the global market.
Brent crude – used as an international benchmark – has fallen to $28 per barrel, its lowest since 2003 and has experienced a 56% fall since June 2015. At its peak in 2012, Brent crude was trading at £1.40 per litre but, since then, an over supply has produced a glut in the marketplace.
Analysts expect oil supply to continue to outstrip demand over the next two years, which is likely to keep prices low – and Wellington motorists and businesses happy.