Motorists rushed to buy fuel in Iran war aftermath, data reveals
Britons rushed to buy fuel at the pumps in the immediate aftermath of the Iran war, while spending on holidays also tumbled due to the uncertainty caused by the conflict, new data has revealed.
Figures from banking giant Barclays showed spending on fuel jumped 10.9% in the week after the US-Israel war on Iran first started on February 28.
Motorists hurried to fill up their tanks amid concerns over supply and prices as the cost of crude oil surged above 100 US dollars a barrel.
The average price of unleaded petrol has now risen past 150p a litre for the first time in nearly two years, having jumped over 17p since the conflict began, according to the latest RAC data.
Barclays said spending on fuel quickly returned to usual levels after the initial spike.
But there are mounting signs of motorists looking to fill up whenever possible.
Asda boss Allan Leighton said on Friday the chain had seen “temporary shortages” at some pumps, though he stressed the issues were not nationwide.
Fuel Industry UK, which represents the fuel sector, also said the supply of petrol and diesel was “stable”.
The Barclays data showed spending on holidays and travel dropped 7.9% in the week beginning March 14 as it said consumers were also taking a “wait and see” approach to taking trips.
Over half of the drop (54%) was due to consumers pausing holiday bookings, while the remainder was from refunds for cancelled travel plans due to disruption from the war.
But the lender’s figures showed discretionary spending, such as eating out and entertainment, was holding up well so far.
Vim Maru, chief executive of Barclays UK, said: “The conflict in the Middle East and concerns about rising costs are understandably leading people to be more cautious, even as many continue with their day-to-day spending.
“If you’re feeling uncertain about your finances, whether that’s spending, your mortgage, savings, debts or investments, being proactive with your finances can help.
“Seeking advice and making use of money management tools will provide reassurance and support."
Published: by Radio NewsHub