The government has tried to prevent panic at the pumps, insisting the UK is not facing a diesel shortage after Donald Trump threatened to cut off US fuel supplies. Transport minister Keir Mather said on Friday that the UK has a wide range of fuel sources and is in talks with other European countries about possibly releasing emergency diesel stockpiles.
UK diesel price hits record high of £2 a litre
Read more
“I want to reassure people that they can still go to the pump and fill up with diesel because the supply we have to the UK is inherently resilient,” he said on ITV’s Good Morning Britain. “The flows of diesel into the UK come from a variety of sources, and that is resilient.
“The government’s obligation now is to work really closely with our partners [in Europe] and officials in the US administration to re-stress how important it is to have flows of diesel into the UK. People shouldn’t be concerned about shortages because of the inherent resilience that is built into that system.”
The UK relies on the US for about 30% of its diesel, with the vast majority coming from mainland Europe, and has reserve supplies for 42 days.
Earlier this week it emerged that the UK’s biggest refinery, Fawley in Hampshire, is set to shut for up to 10 weeks for planned maintenance. The UK had 18 refineries in the 1980s but now has only four.
On Thursday the UK opened talks with European allies over releasing emergency diesel supplies, after the Trump administration told Germany and France to release their stockpiles to help ease soaring prices or face a US supply ban.
Diesel price chart
The average price of a litre of diesel in the UK hit a record high on Friday, breaking the £2 mark for the first time, according to the motoring body the RAC.
“This is a pump price threshold that no one wanted to cross,” said Simon Williams, the head of policy at the RAC. “The average price of a litre of diesel has risen to a record 200.01p and is showing no signs of slowing, heaping more misery on to motorists.”
skip past newsletter promotion
Free newsletter | Every weekday
Sign up to Business Today
Get set for the working day – we’ll point you to all the business news and analysis you need every morning
Enter your email
Sign up
after newsletter promotion
The government has extended the 5p cut in fuel duty until the end of the year. Earlier this week the RAC called on the government to extend the freeze into spring.
“We need to give people support where we can,” Mather said on GMB. “The government is not powerless. That is why we have a fuel duty freeze in place at the moment. The chancellor will set out the future of that at the budget, but is very aware of the impact that [high prices] are having on people.”
On Friday, Dan Jørgensen, the EU commissioner for energy, said Europe was discussing whether to release emergency reserves of diesel with all members of the International Energy Agency, not only the US.
“This is one of the opportunities that we have; we have used it before, and it is likely that we would use it again,” he told Euronews.
Frequently Asked Questions
Here is a list of FAQs based on the topic provided
What happened exactly
A UK minister said the country is not running out of diesel This came after former US President Donald Trump threatened to ban US diesel exports
What is a diesel shortage
It means there is not enough diesel fuel to meet demand This can lead to higher prices and long lines at gas stations
Why did Trump threaten to ban exports
He wanted to keep US diesel at home to lower prices for Americans He said selling it to other countries was hurting the US
Does the UK actually have a diesel shortage
No The UK minister said supplies are normal and there is no shortage right now
What did the minister say
The minister denied there is a shortage They said the UK has enough diesel and people should not panic
Why are people worried about a shortage
Because the US is a big supplier of diesel to the UK If the US stops selling some people fear the UK might run low
What is diesel used for
Diesel powers trucks trains buses and some cars It is also used for farming and construction So it is very important for daily life
How much diesel does the UK get from the US
The UK imports some diesel from the US but not all of it The UK also makes its own diesel and buys from other countries
What would happen if the US really banned exports
Prices might go up in the UK But the UK could buy from other places like Europe or Asia A total shortage is unlikely
Can the UK make its own diesel
Yes The UK has refineries that make diesel But it does not make enough for everything so it still imports some
What should I do if I drive a diesel car
Do not panic buy Fill up as normal The minister says there is no shortage
Is this a political fight
Yes partly Trumps threat was about US politics The UK minister was responding to calm fears in the UK
What is an export ban
It is a rule that stops a country from selling goods to other countries In this case Trump wanted to stop selling US diesel abroad
Why would a country ban exports
To keep more supply at home This can lower prices for local people But it can hurt other countries that rely on those exports
