Falling Oil Prices Continue To Spiral
The downward spiral of the petrol cuts is continuing to plummet, and I’m happy to announce that ASDA, Tescos and Morrisons have cut their prices yet AGAIN by up to 2p per litre this week, making this ASDA’s 15th price cut since September last year!
ASDA, who first initiated this petrol cut war, have now took 23p off the price of unleaded petrol per litre, and 19p off diesel per litre! Morrison’s and Tesco’s weren’t far behind with similar cuts varying regionally, and now we’re just patiently waiting for Sainsbury’s to follow suit. Price drops can never really be a bad thing, but for how long will the petrol prices continue to drop and what will the repercussions be for us the consumers?
Well I’m sure you’ll all be interested to know that oil has dropped in price by 58% since June last year, and experts say that petrol prices have the potential to drop to 85p as a direct result of this. This means even bigger savings could be made at the pumps in the near future if retailers continue reacting to the dropping of oil prices! Fingers crossed for that one!
So theres no denying the worldwide fall in oil prices are having an amazing impact on petrol pumps across the country, but are there any other direct repercussions? Well the good news is yes. There is no doubt that the cost of transport is cheaper, which means the price we pay for buses, taxis, planes and other public transport is set to fall. How fast and by how much are difficult questions for me to answer right now as it all depends on how individual governments chose to apply energy taxes, but hopefully we will see a noticeable difference soon!
With a bit of luck, the amount we are splashing out on household bills could soon drop too! The pressure is mounting on the domestic gas and electricity suppliers to cut their prices in light of the recent events. Lawrence Slade, chief executive of Energy UK says: ‘When people shop around, they can easily find deals that are over £100 cheaper than this time last year and in line with cuts in wholesale energy prices.’
So all in all things are looking good for us on the money saving front for the foreseeable future, but how long will the money saving boom last? The bad news is, chances are, oil prices will eventually rise again. Rest assured it won’t be for some time and we are safe for the time being, but when they do, prices could easily shoot up as quickly as they came down. Nobody foresaw the fall in petrol prices 6 months ago so theres no telling what the future could hold! My advice would be to make the most of the current economy since there’s no telling how long it will last!