As the holiday season brings millions of drivers onto roads across the UK, the price of fuel and the practices of petrol retailers have come under sharp scrutiny. Despite a year marked by falling pump prices, watchdogs, industry analysts, and motorists themselves are raising fresh concerns about just how much drivers are paying—and why. The issue isn’t just confined to Britain, either. Across Africa, countries like Ghana are also wrestling with high fuel prices relative to global benchmarks, even as the cost of crude oil has dropped.
According to a December 2025 report by the UK’s Competition and Markets Authority (CMA), fuel margins at the pump remain stubbornly high, even as the wholesale price of oil has decreased. The CMA’s first annual road fuel monitoring report, which covers developments up to October 2025, found that operating costs for fuel retailers have not significantly increased. In fact, these costs do not explain why profit margins have stayed so far above historic norms. "Fuel margins remain at persistently high levels – and our new analysis shows operating costs do not explain this," said Dan Turnbull, Senior Director of Markets at the CMA. "This indicates competition in the sector is weak – if it was working well, drivers could see lower prices at the pump."
The numbers tell a revealing story. Between November 2024 and October 2025, the average price for petrol in the UK was 135 pence per litre, while diesel averaged 142 pence per litre. Both figures are 8 pence per litre lower than the previous year, reflecting the downward trend in crude oil prices and changes in the exchange rate. Yet, the average retail spread—the difference between what retailers pay for fuel and what drivers pay at the pump—was 13.9 pence per litre for petrol and 14.6 pence per litre for diesel. These margins are significantly higher than the 2015 to 2019 averages, which sat at 6.5 pence per litre for petrol and 8.6 pence per litre for diesel, according to the CMA.
Supermarket retailers, long favored by drivers for their typically lower prices, have seen their margins trend downward. The average supermarket margin dropped from a high of 10.9 pence per litre in 2022 to 9.6 pence per litre for the first three quarters of 2025. Non-supermarket retailers, however, have seen their margins rise, reaching 11.1 pence per litre in 2025, up from 10.8 pence in 2024. The CMA’s analysis suggests that, despite claims from some retailers, rising operating costs are not to blame for these persistently high margins. Instead, the watchdog points to weak competition in the sector as a likely culprit.
This finding has not gone unnoticed by motorists’ advocacy groups. Simon Williams, head of policy at the RAC, remarked, "Sadly, many drivers won’t be surprised to hear that they’re still paying too much for their fuel, especially judging by the complaints we receive about large price variations from area to area." He went on to say, "The fuel retailers trade association has claimed that rising operating costs were the reason for average margins on petrol and diesel being higher, but this has now been clearly rejected by the Competition and Markets Authority which says these don’t explain why fuel margins remain high compared to historic levels." Williams expressed hope that new measures, such as the proposed 'fuel finder' scheme, would help bring about greater competition and lower prices.
The 'fuel finder' initiative, set to launch in 2026, is designed to empower consumers by providing real-time price comparisons across forecourts via navigation apps and price comparison websites. The scheme is expected to increase transparency, spur competition among retailers, and, ultimately, save motorists money. The CMA will have enforcement powers under new regulations to ensure that retailers provide accurate data for the fuel finder scheme, though the focus until at least May 2026 will be on supporting businesses to comply rather than pursuing enforcement action.
With Christmas approaching, the practical realities of buying fuel are also shifting. According to The Sun, drivers have been warned to check petrol station opening times before setting off for holiday travels. All Tesco and Sainsbury’s petrol stations will be closed on December 25, 2025. Most Morrisons stations will also be shut, though some may remain open—drivers are advised to check using the Morrisons Store Finder or app. Asda stations will be open for pay-at-the-pump services only, meaning cash payments won’t be accepted. Supermarket fuel remains a popular choice for its convenience and lower prices, with Tesco’s rate at 124.9 pence per litre and Asda’s at 125.7 pence per litre in December 2025. Williams from the RAC advised, "Our analysis shows that while it’s cheaper on average to fill up at supermarkets, it’s also worth seeking out low-priced independent forecourts that can offer great value petrol and diesel. The best advice is to keep a close eye out for low prices on your normal routes, or better still, use the myRAC app to search for the best prices in your area."
Looking beyond the UK, Ghana’s experience illustrates the global complexity of fuel pricing. According to GlobalPetrolPrices.com, as of December 15, 2025, petrol in Ghana was selling at US$1.297 per litre, and diesel at US$1.145 per litre. Ghana ranked 23rd in Africa for the highest fuel prices, trailing countries like Central African Republic ($1.883), Senegal ($1.650), Zimbabwe ($1.560), Burkina Faso ($1.525), and Cameroon ($1.507). By contrast, Libya, Angola, Algeria, Egypt, and Nigeria had the continent’s lowest fuel prices, with Libya’s petrol at a mere $0.028 per litre. The price of Brent crude on the international market hovered around $60.47 per barrel in mid-December 2025.
Ghana’s fuel prices, while high by African standards, are expected to fall slightly. The Chamber of Oil Marketing Companies projected that petrol prices could drop by as much as 4.0% per litre during the second pricing window of December 2025, potentially bringing pump prices down to about GH¢12.90 per litre for petrol and GH¢13.20 for diesel. Some Oil Marketing Companies in Ghana have already begun reducing prices at the pump in response to these industry projections.
While the reasons for high fuel prices vary from country to country—ranging from local taxes and subsidies to exchange rates and supply chain costs—the common thread is the impact on ordinary drivers. Whether in the UK, Ghana, or elsewhere, motorists are keenly aware of price fluctuations and the need for transparency. The upcoming 'fuel finder' scheme in the UK and similar efforts elsewhere may help shine a light on pricing practices, boost competition, and give consumers more control over their spending.
For now, as families prepare to travel for Christmas and the New Year, one thing is clear: keeping an eye on fuel prices, planning ahead, and making use of available tools and apps can make a real difference at the pump.
