New rules will help motorists spend less

Motorists could be set to make big savings thanks to the government’s new fuel finder service.

Under the scheme, garages and petrol stations must report their prices to the government, so drivers can easily find the cheapest fuel in real-time on comparison apps like PetrolPrices, their satnav and online maps.

Ministers hope it could help drivers save up to £40 a year.

Why have drivers been paying so much for fuel?

The Competition and Markets Authority (CMA) recently suggested that drivers are paying over the odds to fill up their car partly because retailers are keeping their profit margins “persistently high”.

So while wholesale fuel prices have come down in recent months, the gap between what they pay for fuel and the price they sell them at have been well above historic levels.

It’s hoped that making it easier for drivers to compare prices will give retailers more of an incentive to compete on prices at the pumps and charge drivers less.

What else can I do to cut fuel costs?

Comparing prices with the fuel finder service is just one step you can take to lower the cost of getting behind the wheel.

Apart from shopping around, you can:

Avoid motorway services 

Motorists are hit with premium prices at service stations, so if you’re planning a long drive, fill up before you get on the motorway.

Sign up for fuel loyalty cards

If there’s one or two petrol stations and supermarket forecourts you use regularly, sign up for loyalty schemes if they have them.

For example, Shell Go+, BPme Rewards and Texaco Rewards allow you to collect points that can be exchanged for money on fuel.

And you can also use supermarket loyalty schemes like Tesco’s Clubcard for fuel purchases.

Drive efficiently and look after your car

How you drive and the condition of your vehicle makes a big difference to how much fuel you use and how much you spend.

Use cashback 

Paying for fuel with cashback credit or debit card could also help offset higher prices.

But remember you have to repay the full balance each month to avoid paying interest, as this could cost you more than the saving in the long term.

Check out our blog on 10 easy ways to cut the cost of driving for more money-saving tips.