A motoring expert has highlighted that drivers could see the cheapest petrol and diesel prices for nearly four years as global economies continue to react to President Trump’s tariffs. The range of tariffs introduced by the Trump administration during the start of April 2025 saw wide economic swings across the world, with a range of stock markets plummeting in the following days. Simon Williams, head of policy for the RAC, noted that the value of oil also dropped significantly following the launch of President Trump’s tariffs, which could have a knock-on effect on fuel prices.
He said: “With oil tumbling to its lowest price for four years, drivers ought to see cuts of up to 6p a litre at the pumps ahead of the Easter weekend when the roads are notoriously busy. As long as the barrel carries on trading around or below the $65 (£50) mark, retailers will be obliged to pass on the savings they’re benefitting from to their customers on the forecourt.”
During March 2025, the average value of a barrel of oil stood at $72.73 (nearly £57), with the value already falling from nearly $80 (£62) at the start of the year.
However, concerns over a recession and tension between America and China have caused global oil prices to decline at an even faster rate, with prices dropping to under $60 (£47) in some cases.
Some financial analysts have predicted that prices could fall further still, with weaker economies using less oil and creating an oversupply.
Whilst the falling cost of oil is a concern for many, Simon noted that it could result in significantly cheaper petrol and diesel prices across the UK.
He added: “Petrol should drop from its current UK average of 136p to 130p a litre, and diesel from 143p to 137p.
“If unleaded were to fall to that level, it would be the cheapest since summer 2021. Diesel hasn’t been that low since September that year.”
During March 2025, the RAC highlighted that the average price of a litre of petrol fell by 3.6p to 136.03p – marking the first decline since November 2024.
The cost of diesel fell even further, with the cost of a litre dropping by 4p to 142.51p at the end of the month.
Whilst the declines were both fairly small, the motoring organisation noted that they will help drivers save more than £2 every time they fill up the tank of their car.
