Tuesday, 7 November 2017

British motorists should brace themselves as Saudi instability contributes to rising fuel costs



British motorists should brace themselves for a surge in the cost of petrol after oil prices hit levels not seen for two-and-a-half years, analysts have warned.
 
The RAC has predicted a rise of 3p per litre for unleaded users in the next fortnight as oil markets factor in uncertainty on several fronts.
 
 
Brent crude struck $64 (£48.75) a barrel on Monday, continuing a rise in oil costs in recent weeks that had been mostly built on market hopes of further production cuts to tackle a long-standing supply glut.


But stability in Saudi Arabia - the world's largest producer - has come in to sharp focus in recent days.


Initially, the market was forced to digest the potential implications of a reform drive by the country's crown prince.


While Mohammed bin Salman had already revealed ambitions to diversify the country's economy away from its reliance on oil wealth, he launched a corruption purge at the weekend that has seen dozens of businessmen, military top brass and even princes detained.



SKY          News.