UK drivers are being warned to prepare for a costly Christmas as fuel prices surge at their fastest rate in 18 months, according to the latest RAC Fuel Watch data.
Current Fuel Prices (December 2025)
Petrol increased by 2.17p in November, taking the average cost to 137.17p per litre – the highest price since mid-March 2025. Diesel saw an even sharper rise of 3.84p, with the average now standing at 146.57p per litre, the most expensive since August 2024.
This marks the fastest monthly price climb since April 2024.
What This Means for Your Wallet
The cost impact is significant for family budgets already stretched by the festive season:
- Filling a typical 55-litre petrol tank now costs approximately £75.44 – around £1.19 more than late October
- A full diesel tank now requires nearly £81, up £2.11 from the previous month
- Prices are now higher than this time last year, with petrol up approximately 0.5p and diesel over 4p per litre more expensive
Regional Variations
Where you fill up matters. Regional differences can save you money:
- Northern Ireland offers the best rates at 129.6p (unleaded) and 137.7p (diesel)
- Supermarkets remain cheaper than the national average at 134.48p (unleaded) and 143.08p (diesel)
Expert Commentary
RAC head of policy Simon Williams commented: "Drivers will be disappointed to see prices at the pumps rise so sharply in the run-up to the festive period. Not only is it one of the most expensive times of the year, it's also a time when many of us drive hundreds of miles to celebrate with family and friends over the extended break, making it a costly Christmas on the roads."
Why Are Prices Rising?
Several factors are driving the increase:
- Oil price fluctuations on global markets
- Sterling-to-dollar exchange rate movements
- Seasonal demand as people travel for Christmas
- Wholesale cost increases being passed to consumers
How to Save Money This Christmas
- Shop at supermarkets: The big four (Asda, Tesco, Morrisons, Sainsbury's) typically offer prices 3p below average – that's about £1.65 per tank
- Use a fuel finder app: Compare prices in your area before filling up – every penny saved equals roughly 55p per tank
- Fill up before travelling: Motorway service stations typically charge significantly more
- Consider driving style: Smooth acceleration and maintaining steady speeds can improve fuel economy
New Fuel Finder Scheme Coming
Good news is on the horizon: the government's new Fuel Finder scheme, modelled on Northern Ireland's successful Consumer Council Fuel Price Checker, is due to launch in spring 2025. This will require major retailers to publish real-time prices, helping drivers find the cheapest fuel in their area.