Average petrol price now 105p per litre

The average price of petrol in the West Midlands has pushed past the 105 pence-a-litre mark for the first time since mid October last year.

More than 2.5p has been added to the pump price since the beginning of the month, which will double with the fuel duty and VAT increase on Tuesday, according to the motoring organisation the AA. Petrol pump prices now average 105.1 pence per litre and diesel 105.62. Prices at the start of August were 102.59 and 103.28 respectively.

The 2.51 pence increase has added £1.25 to the cost of filling a typical 50-litre tank and pushed up the monthly cost of petrol for a family with two cars by £5.42

With the Government adding 2.3 pence duty and VAT on Tuesday, the cost of a family car will have gone up by £10 in a month.

Ebraham Bhattay, who runs Mibsons petrol station in Birmingham Road, West Bromwich, is currently charging 104p per litre for his petrol.

He said: "It's going up every day at the moment. Next week it will go up by another 2p.

"It's making a big difference to trade.

"We find that where people were buying £40 worth and filling up now they are buying fuel in £20 quantities to spread the cost," he added.

"We would be able to drop the prices if the Government cut fuel duty and it would improve things for everyone.

AA president Edmund King said: "If the Government had told every family that relies on its cars to go to work, take the kids to school and go shopping, that by the end of August, their monthly budget would shrink by £10, there would have been uproar.

"Town centre managers who will see thousands of families spending a tenner less a month must be wondering when this constant drain on business is going to end."

"We would urge drivers to write to their MPs to let them know how rising fuel prices and the Government piling on fuel duty increases is hitting their ability to make ends meet and contribute to their local economies," he added.