Looking for smart ways to navigate high fuel prices? Explore the average fuel prices in the UK and our practical tips to help stretch your budget.
Wondering why fuel prices are going up? With help from the RAC, we’ll explain why they’re high, how they’ve fallen a little lately, and what you can do to bring your fuel costs down.
- Why are fuel prices going up?
- Where to get the best price for fuel
- Driving techniques to save you fuel
- When you fill up matters
- How electric vehicles (EVs) compare
- Your handy checklist
Everyone’s looking for ways to save money right now. If you start some smart fuel-saving habits, it can help your budget go far.
Our all-inclusive package covers a lot, but not your fuel. And with the average fuel price in the UK going up and down often, it can be difficult to know what you can expect to pay.
Why are fuel prices going up?
Fuel prices rose steadily between 2020 and 2022. It might feel like they’re always climbing, but since 2022 they’ve been slowly falling, with temporary spikes along the way.
The good news is that in May 2025, petrol dropped in price for the third month in a row. This means that drivers are paying the lowest price for petrol since July 2021.
Over half of what you pay at the pump is down to tax, but there are other factors too. Here’s what affects how much you pay:
- The global prices of crude oil
- The pound-to-dollar exchange rate
- Distribution costs
- The profit fuel retailers decide to take
- Fuel duty charged by the Government
- VAT
Where to get the best price for fuel
Costco is one of the best places to top up, if you’re happy to pay for their yearly membership and you’re eligible. Supermarkets are your next best option.
Here’s a quick glance at who’s offering the best average price for petrol and diesel, in the UK on 17 June 2025, using data from the RAC.
Retailer | Average cost of unleaded | Average cost of diesel |
Costco (membership price) | 123.7 pence | 130.0 pence |
Asda | 128.8 pence | 135.0 pence |
Tesco | 128.8 pence | 134.9 pence |
Morrisons | 129.0 pence | 135.2 pence |
Sainsbury’s | 129.2 pence | 135.2 pence |
You’ll notice diesel is more expensive than petrol. If you want things to be easier on your pocket and better for the environment, this is something to consider.
Service stations tend to be more expensive, especially on the motorway, because drivers have little choice but to use them. Local stations might offer better prices, but these vary.
One great tip is to use apps to help you find cheaper fuel stations. You can use the myRAC app or you can check out our list of the best driving apps.
Driving techniques to save you fuel
Our first tip to save fuel is to drive smoothly. The harder you press on the accelerator, the more fuel you’ll use. And the more chance you’ll need to brake hard and often.
Our next tip is to keep on top of your gear changes. Always drive in the highest gear you can, without labouring your engine. That means changing gear earlier than feels natural.
The most expensive moment for your fuel tank is the first metre you drive, because it takes a lot of energy to get your car going. So safely keep rolling your car while you’re still in gear, if you can.
Coasting is different to this, as it means leaving your car in neutral while you roll. Try not to coast, as it’s dangerous and you’ll have less control.
Lastly, only use cruise control on motorways. If you use it on any road that’s not flat, it’ll increase how much fuel you use.
Maintain your vehicle well
Getting your vehicle serviced often will improve how efficient it is. With the Motability Scheme, servicing is included as part of your lease package. Make sure your tyres are inflated to the right level, as having them under or over-inflated will impact how much fuel you use. Top them up to the amount it says in your owner’s manual. Remember, we include tyre repairs from Kwik Fit as part of your lease package.
Then declutter your car. The more stuff you’re carrying, the more fuel you’ll get through. And if you have a roof rack you’re not using, take it off, as it adds wind resistance to your drive.
Air conditioning uses engine power and fuel, so remember to turn it off when you do not need it. If you’re driving at a low speed, open the windows instead.
When you fill up matters
Some believe you get a little more petrol in your tank if you fill up at night. The difference is tiny, but you might find it’s worthwhile.
Temperatures fall at night, and since fuel pumps are calibrated by volume, you’ll end up with a fraction more fuel. You’ll find the queues are shorter then too, and you might prefer a quieter environment.
Try to top up as soon as your tank shows fifty miles left to empty. This will give you time to look around for the best price, instead of having to settle on the nearest service station.
Lastly, it’s tempting to top up until your tank is full, but fuel adds weight. That means you’re paying more when you drive around with a full tank. If you’re at a petrol station that has low prices though, it makes sense to fully top up.
How electric vehicles (EVs) compare
One way you could save money is to switch to an electric vehicle (EV). This is cheaper than running a petrol or diesel car, if you choose the right tariff.
You’ll need to choose an off-peak or an EV-specific tariff. Just speak to your electricity provider, and shop around for the best price. Then you’re good to plug in and start saving.
And remember, we’ll arrange a home chargepoint and a standard installation, as part of your lease. Or we’ll help you with public charging.
Your handy checklist
Here are the main tips we’ve covered in this article, in a handy checklist:
- Costco and the big supermarkets are great places to fill up
- Use the myRAC app or alternative to help you find the cheapest service stations
- Press your accelerator less often, while you drive
- Keep your tyre pressure at the right level
- Declutter your car often
- Never fill your tank right up
Using less fuel will mean you’re being kinder to the environment too. Keep our tips in mind and you could see your fuel costs drop a little, over time, which means you’ll have more cash leftover for the important things.
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Featured image credit: Peter Cade / Getty Images
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