UK petrol price hits 5 a gallon

Unleaded fuel has hit 5 a gallon in the UK, despite the Chancellor delaying a proposed tax hike in yesterday's Budget.

Budget analysts suggested that one of the reasons for postponing the proposed 2p a litre hike in fuel tax until October was because it would push the price of petrol over 5 a gallon, prompting negative publicity for the Government.

However, the milestone figure was still reached, with the AA recording petrol being sold for 110.9p at Cherwell Valley Services on the M40. Any price above 110.0p equates to 5 a gallon.

According to the AA, the average price of a litre of unleaded petrol is 106.2p (4.82 a gallon) and a litre of diesel is 112.7p (5.12 a gallon).

The price of UK road fuel has risen 60% in the past 10 years.