View Full Version : Oil prices now and 2001

12th Jan 2009, 21:03
I remeber when i first moved to the uk, petrol prices at the pumps were approximately 65p per litre depending on where i went

Looking at historical oil prices


we're getting close to 2001 prices now (from 147 dollars 6 months or so ago to 37 dollars ish today to approx 25 dollars in 2001)

Right there's the background now here's the question.

Not withstanding the fuel tax escalator (unsure of what those figures are), why is it then that petrol now cost approx 83 pence per litre and diesel 95 pence per litre.

Also as an aside why was diesel in 2001 2 pence per litre more expensive than petrol and now wherever you go it will be 12 pence per litre difference.

Pappa Smurf
12th Jan 2009, 21:37
I should say inflation would be a big factor.Wages of refinery workers,shipping costs,land transort etc.

As for diesel,which is a lower cost product ,i think the tax portion may have risen as a lot more vehicles run on diesel these days.
Having said that world diesel prices rose with the economic upturn due to a big demand.
Now the worlds gone to shite the industries that use diesel have slowed up and diesel price has dropped as well ,but only a similar percentage to petrol.

Can only mean 2 things--we are being conned ,or the tax men are having a lend of us as well.

12th Jan 2009, 21:37
I'd have thought the rises in tax on fuel would account for at least some of the difference. At least fuel is at a more reasonable price now, unlike rail fares and heating costs which just seem to go one way - UP!

12th Jan 2009, 21:43
In 2004 I was paying 25ppl for oil to heat the house. In early '08, it had risen to 65ppl! Last time the oil was purchased (Nov '08) it had gone down to 45ppl.

12th Jan 2009, 23:04
The other point i wanted to talk about was heating and electricity bills.

i've always understood that natural gas price was directly related to the price of oil. Yet heating and electric bills have not gone down, my housemate tells me that this is because the energy suppliers buy their gas during the summer when prices are traditionally cheapest. Just not this summer!

Also wondering about all those people who fixed their eneregy bills last summer for 3 years.. Now that oil has dropped by approx 75 percent, does that mean these people are knackered for the next few years??

12th Jan 2009, 23:06
Don't get too relaxed anyone. It's started to rise again at the pumps in the last day or two.

One cited factor (if true; newspaper) was the Israel-Gaza position. That must have a huge effect on world oil standing.

12th Jan 2009, 23:10
The weak pound against the US$ must also be a contributory factor surely ? If we buy oil in US$ then the weak exchange rate must make it more expensive I would have thought.