Diesel hits £1.13 a litre

Prices at petrol pumps across the Black Country have been soaring to record highs, with almost £1.13 being charged for a litre of fuel at one garage.

Motoring campaigners and garage bosses are now calling on chancellor Alistair Darling to scrap his planned 2p tax hike next spring.

New figures released by the AA show unleaded petrol has gone up by 15p a litre in the past 12 months, with a 4p per litre rise in the last four weeks alone.

The average price is now a record £1.01 per litre for unleaded petrol and £1.05 for diesel.

But those prices have been smashed by the independent Wilson Hughes Garage, on Stafford Road, Wolverhampton, which is charging 106.9p per litre of unleaded fuel and 112.9p litre of diesel.The diesel price is not displayed on the garage forecourt and is only shown on the pump once drivers lift the nozzle to start filling up their tanks.

Jonathan Thompson, aged 25, from Wombourne, had gone to the garage to fill up with diesel but refused when he saw the price.

"There is no way people can afford that sort of money. Diesel is meant to be better value. The prices are ridiculous," he said. Staff at the garage today refused to comment on the prices.

Molineux Service Station, near Wolverhampton city centre, is charging 109.9p for diesel and 103.9p for unleaded petrol.

Owner Shailesh Parekh blamed the cost on a diesel shortage in the UK.

He said: "Traditionally, the price of diesel rises in the autumn because northern countries use it as a heating oil as well. If the weather turns really cold, we will have a big problem."

AA spokesman Paul Waters said: "Retailers, who may have previously shied away from charging above the psychological £1-a-litre barrier, have seen neighbouring competitors do so and followed suit."

By Daniel Wainwright