UK fuel prices surge as Hormuz crisis hits motorists

Fuel prices in the UK have risen sharply. At fuel stations across Britain, drivers are paying on average 53 cents (40p) a liter more than in early March. Diesel is more expensive than petrol.

While the UK still has a dwindling source of oil from the North Sea and imports petrol from refineries in Belgium and the Netherlands, diesel imports are significantly more expensive.

The war in Iran since February 28 is having a direct impact on millions of British motorists and haulage companies.

In west London, drivers complained about the steep price rises. Denise said she had noticed the change:

"I filled up a month ago, and it was 131 per liter, and now it’s 155.9. It's pretty outrageous."

In recent days, the price per liter of unleaded petrol has risen almost daily, reaching as much as £1.79. That’s about $2.40 per liter.

Another driver, Redmond, said he had no choice but to use his car: "Being a musician, in my line of work I need to travel quite often on weekends, and if there are no trains going to where I need to be, then I need my car, and I need fuel, so it's really important."

He added he is concerned about the coming months:

"I'm quite worried that everything will continue getting more expensive. An energy crisis, and nothing else will follow it. Salaries, payments for me — I won't be hired if my travel costs are significantly higher than someone local."

The biggest global impact is the disruption to the Strait of Hormuz. This narrow waterway between Oman and Iran handles a major share of global energy shipments. While it is officially open, the threat from Iranian missiles, drones, and attack vessels has made it extremely risky for tankers.

Only ships cleared by Iran's Islamic Revolutionary Guard Corps are effectively able to transit safely between the Persian Gulf and the Indian Ocean.

Around 20 percent of the world's oil and liquefied natural gas passes through the strait, making it a critical chokepoint in global energy markets.

Economist Gerard Lyons says the impact could last:

"There's an expectation that the crisis could escalate. Until there is clarity on when the conflict ends, and when the Strait of Hormuz fully reopens, we are likely to see continued high energy prices.

"We're likely to see higher costs not just for oil, but across the board. That feeds into fertilizer and food prices, and adds volatility to the global economy."

Just under half of Britain's diesel comes from domestic refineries, with the rest imported. Around 7 percent of its crude oil comes directly from the Middle East.

Aviation fuel is another pressure point. While UK airports rely on pipeline networks, between 50 and 60 percent of aviation fuel is still imported.

"What's the issue in the UK? It's a combination of factors," Lyons said.

"We're transitioning from fossil fuels to renewables, but gas still makes up a large share of the energy mix. That leaves the UK exposed to shocks like this."

That means more pressure at the pumps.

Demi, filling up her car, said: "We depend on deliveries of fuel tankers to replenish supplies. We don't have much storage, so if deliveries are disrupted, it becomes a real problem."

As an ambulance passed with sirens blaring, she added: "What's going to happen to fire engines and ambulances — all those essential services that rely on fuel?"

The longer the conflict continues and the Strait of Hormuz remains risky for shipping, the higher fuel prices are likely to stay.

Some are already calling for a rethink of the UK government's planned fuel duty increase next September.

Before that, local elections in England and national elections in Wales and Scotland are due in May — and rising fuel costs could become a key issue for voters.