Cheap Petrol & Diesel

Cut prices & improve fuel efficiency

Martin Lewis and Nick Durrant | Edited by Steve Nowottny

Updated 29 June 2020

With the light easing of coronavirus lockdown measures in England and Northern Ireland, and Scotland planning to do similar later this week, you may be considering venturing further afield. Yet while fuel prices have dropped to a four-year LOW due to the pandemic, it's still possible to save on filling up by buying in the right place. And if you take steps to drive more efficiently, it's possible to cut costs further...

Motoring & coronavirus

Motoring, like all forms of transport, has been affected by the coronavirus pandemic. If you are driving or are considering driving, make sure you're not breaking Government lockdown rules for your part of the country. For more info on the rules, go to our Life-in-Lockdown Help guide or the Gov.uk website.

And if you're heading out in your car for the first time since lockdown began, there are a few checks you should do beforehand to make sure you're doing so safely and legally – for full help, see MSE Kelvin's Seven Lockdown Motoring Tips.

Step 1: Make your car more fuel-efficient

Some simple checks and adjustments to your vehicle can help reduce fuel consumption. (Thanks to the RAC for its input in compiling this list.) Combined with the tips below on driving more efficiently, these could help save up to 30% on fuel costs – and of course, they're a quick and painless way to benefit the environment too.

1. Keep your tyres inflated

Lower tyre pressure increases the drag on a car, meaning you need more fuel, so regularly check the pressures are correct (over-inflating your tyres will also use more fuel) and your car needs less oomph to keep it moving.
2. Declutter your car

The lighter your car is, the less effort it needs to accelerate. By decluttering, clearing out junk from the boot, and not carrying unnecessary weight, you can save a little more. Any extra weight you ride around with ups your fuel consumption – while lightening the load won't make the biggest difference, it will help keep it down.
3. Take your roof rack off

A roof rack, even unused, adds wind resistance to a car, increasing drag and making the engine work harder. If you don't need it, take it off, along with anything else inefficient. Even closing the windows and removing any flags will make the car run slightly more efficiently.
4. Turn off air-con at lower speeds

Air-conditioning uses engine power and therefore fuel – so make sure it's turned off unless you really need it.

The general consensus is it's more efficient to drive with the windows down and the air-con off at lower speeds, but at higher speeds it's better to use the air-con and keep windows up due to the extra drag caused by having windows down.

If you're not using your air-con, it's worth turning it on once in a while as not using it can mean it stops working. Also, don't leave the engine idling. Drive off as soon as you start up and switch off as soon as you reach your destination. Turn your engine off where possible, eg, in traffic or during big delays on motorways.
5. Don't fill it up

Fuel is heavy, so by filling the car up you're adding quite a weight. The less fuel your car has in it, the more efficiently it drives. If you fill up slightly more often and put less in (to 1/2 or 3/4 full), it'll make the car run more efficiently.

But don't be tempted to run the fuel too low – winter driving uses more fuel, so you'll cover fewer miles per litre.
6. Save cruise control for motorways

On long, flat roads, cruise control helps you save on fuel by maintaining a constant speed, thus removing unnecessary acceleration. But used regularly on roads that aren't flat, it will increase how much fuel you use because it's slower to react to changes in gradient, meaning it will accelerate for longer than a driver would when going up a hill. So reserve it for motorways where you can cruise along.

Step 2: Seven tips to drive more efficiently

You can drive the same distance in the same car, without slowing down, but using less fuel – better for your wallet, better for the environment. The key is to drive smoothly. Here are the seven tips you need to know.

1. Accelerators are money pumps – accelerate gradually

Speed up smoothly. If you press harder on the pedal, more fuel will flow – but you can reach the same speed using much less power. As a rough rule, stay under 3,000 revs. Plus, if you think about it, if you accelerate too quickly, chances are you'll then have to brake hard, which isn't exactly efficient.
2. Change up a gear sooner

Always drive in the highest gear possible without labouring the engine. So change up much earlier than feels natural – it will take some pace out of your acceleration, but as that's our first tip it isn't a bad thing. If you have a fuel efficiency display, you'll be surprised how immediate an impact this has.
3. Think about road position

All the other tips require you to be alert and aware of your road position. This helps you plan ahead and move gradually. It also means that more efficient driving is also safer driving.
4. The brake is a money burner

Where safe, allow yourself to slow naturally rather than hitting the brakes. When you press the brake you are effectively converting the energy you've paid to put into the car into heat. Instead, where you can, make the most of the car's momentum – good road positioning is crucial for this. Over the course of a journey if you brake frequently, you'll end up having to accelerate more too, which ultimately means using more fuel.
5. Listen to the noise of your engine

If you hear sharp acceleration and the screech of the brakes you know you're doing it wrong. Imagine driving from traffic light to traffic light doing that. The person behind who speeds up and slows down more slowly will still be behind you at the next light, they'll just have spent far less getting there.
6. Keep moving if you can

The most expensive metre you drive is always the first one when you start. It takes huge energy to get a car going. So if you can roll gradually up to a traffic light as it changes from red to green, without stopping, it is more efficient than stopping and restarting.
7. Coasting in neutral may feel cheaper but it's dangerous

While putting the car into neutral and coasting may feel like you're using less fuel, it's dangerous, don't do it. You always need access to the accelerator to avoid unexpected hazards. Plus cars can handle far worse on sharp corners when in neutral.

In many ways, this all comes down to one little rule of thumb.

Every time you put your foot on the accelerator, remember the harder you press, the more fuel you spend.

Just being conscious of this, and your road position, should massively increase how far you can drive on a tank of petrol.

While it's tricky to accurately gauge exactly how much you could save on fuel by making your car more fuel-efficient and driving more efficiently, the AA says when 50 of its staff undertook an eco-driving trial they saved an average of 10% in a week, and the biggest saving was a whopping 33%.

The real world impact: Martin's story

On an overseas holiday I got to test this, thanks to a sexy little digital display in my hire car which gave me a km/litre readout. For every trip, I drove normally on the way there and used the 'think when pressing the pedal' method above on the way back.

If you're thinking 'did he really bother while on holiday?' – yes I did, and I loved it. Luckily my girlfriend (now my wife) is very understanding!

The improvement was enormous. Overall, I drove about 500 miles, and the different 'efficiency' averages per litre of petrol were incredible: for normal driving, it was 11.2km per litre, but for efficiency-conscious driving, a remarkable 13.4km per litre.

Most intriguingly, the efficient driving didn't cost me any time at all, and on motorways my top speed didn't change. Others drove harder, only to brake harder at the next traffic light...

- Martin Lewis, MSE founder & chair

For more info on this read Martin's Petrol Efficiency Experiment blog. If you try this type of driving or want to share your experiences, go to the Driving Efficiently forum discussion.

Step 3: Find the cheapest petrol or diesel prices

The easiest way to find the cheapest forecourt in your area for petrol, diesel, super unleaded or premium diesel is by comparing prices using a nifty free tool.

Go to website PetrolPrices.com and after registering, enter your postcode and tell it how far you're willing to travel for fuel (up to 20 miles). It'll list the cheapest petrol stations in your area (it says the most up to date figures are displayed, which in practice seems to mean results are between one and four days old) and covers most of the 8,500ish forecourts across the UK.

A quick check before you need to fill up could save you some decent cash. For a Durham postcode, the price of unleaded within a five-mile radius on Fri 22 May ranged from 99.9p/litre to 128.9p/litre. And while the difference per litre may be pennies, in terms of percentage that's an increase of about 29%.

Also keep an eye out for short-lived fuel discount promos that pop up from time to time. There aren't currently any on that we know of, but we'll publish details here when there are.

Use loyalty schemes

Buying petrol is a regular outlay, and you spend more on it in a year than you think – £30 a week is over £1,500 a year. As many petrol stations (including the supermarket ones) run some form of loyalty scheme, it's worth signing up to schemes for the forecourts you'll use most regularly to get a little bit extra back.

However, never choose a petrol station just for its loyalty scheme, as the difference is small compared to petrol price variance (also see the Loyalty Points Boosting guide).

Other filling-up tips

There are several other ways to cut the cost of petrol and diesel:

1. Always fill up at least 50 miles before your tank's dry

Then there's no panic and you've enough time to get to a cheaper petrol station. Leave it longer and you'll fill up at the next one you see, so you won't be focused on price.

This is slightly offset by the fact that a lighter car uses less fuel. But with 50 miles of fuel left, the difference is tiny.
2. Only use 'better fuel' if your car can cope

Many petrol stations sell 'high performance' fuels, yet there's little or no performance difference for most non-performance cars. So only fill up with the super-fuels if you've a sports car or you've been specifically advised your car will actually use the petrol correctly.

The AA tells us that for most other cars, high performance fuels are too pricey for regular use. But if you're keen, it suggests using a high performance fuel every third or fourth tank full to keep the engine clean and efficient, then revert to normal fuel.
3. Filling up at night won’t be a big MoneySaver

Talk of filling up at night getting you more is a slight urban myth, as the difference is minuscule – pennies at best. Fuel pumps are calibrated by volume, so fill up at night when it's colder and you get a tiny, tiny bit extra.
4. Don't try to put more in after the clunk

Filling your tank to the top isn't great, as it adds weight to the car (see how to make your car more fuel-efficient). But if you must, don't keep going after the petrol nozzle 'clunks'. If you do, you're overfilling.

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Step 4: Pay using a cashback credit card

Cashback credit cards pay you back each time you spend on them. They are a great way to shave the cost of your fuel, but ALWAYS abide by the golden rule...

Set up a direct debit to repay the card in full each month, so you never pay interest, which would outstrip any gain.

The reason card companies offer cashback or reward schemes is simple. They want to encourage you to spend on the card and pay them interest. The interest cost of all cashback cards dwarfs the cashback you'll earn. For full details on what to consider before applying, see Credit Card Rewards.

Each time you apply for one of these cards, you'll be credit-checked by the lenders. Multiple applications in a short period can impact your future ability to get credit. Read full details in the Credit Scores guide.

The easy way to pay off in full

It's easy to do this via direct debit, which allows the card company to take a variable monthly amount that corresponds with what you owe it. Sadly, some providers deliberately omit the 'pay off in full' option from direct debit forms, as it makes them less money. If that's the case, write 'pay off in full' on the form. They should honour it, but call up after a week or so to check they have.

The top cashback card

You can get 5% bonus cashback on everything you buy, up to a maximum £100 with our top pick American Express reward card. After the introductory bonus, cashback is then tiered up to 1%, though you need to spend £3,000+ per year to get any cashback.

Full details and more options in Top Credit Card Rewards.

Step 5: Share the driving to cut your petrol costs

An easy way to cut petrol costs is to drive less! One option is to share lifts to work with friends. There are a few sites that connect people doing the same journey.

Liftshare

Register your details on Liftshare and enter the journey you'd like to share. Then check the results for matching commuters – it also lets you search for potential matches before registering.

The site's been going since 1998. It reckons a typical daily commuter sharing a journey can save about £1,000/year. It has a nifty savings calculator to help work out how much your journey costs, plus how much you could save by sharing.

BlaBlaCar

Founded in France in 2006, BlaBlaCar came to the UK in 2011 and has 70 million members. You can search for potential matches without registering, but you'll need to register for free using Facebook or email if you want to get or give a lift.

Anything to watch for?

Be safe

The sites store details securely, but when it comes to travelling it's important to be vigilant. Arrange to meet for the first time in a public place, let friends or relatives know what you're doing and check their ID to ensure they are who they say they are.
Taking passengers shouldn't affect insurance

If you're giving a lift to someone and asking for a contribution towards petrol costs, the Association of British Insurers says that provided there's no element of profit, your car insurance is unlikely to be affected.

However, to be completely sure, check with your provider first.

Your successes using the five-step cheap petrol system

'Do it – you'll be surprised'

Thanks to driving tips from @MoneySavingExp, I have saved myself £20 in fuel in 1 month, driving more carefully. Do it, you'll be surprised.
- MoneySaver @mathewhasker on Twitter

'I doubled my fuel economy!'

Over the last 2 years I have almost doubled my fuel economy, without changing vehicles.

1. I drive much more smoothly and don't overtake other car users just to get one or two places further along in a big queue.

2. I leave for work a little later and return home a little later – as a result I no longer spend 30 mins plus on a 4 mile crawl through stop/start traffic on a 26 mile (each way) commute into and out of Aberdeen.

My blood pressure is also lower
MoneySaver Caleypine

'20 extra miles per tank!'

Results I've got from trying to drive more fuel-efficiently. Most of this has been city driving:

Previously, 33-35 litres gave me around 215 miles.

Driving more carefully increased this to around 235 miles.

Turning engine off at lights increased my mileage to 293 miles.
- MoneySaver Krishna

MSE Challenge: The petrol diet!

Once you've read the steps above, why not try the petrol diet? No, we don't advocate swigging the stuff – it's a challenge on the MSE Forum, where MoneySavers share tips to help cut their annual fuel spend, track savings and inspire others.

The forum's proved hugely powerful in the past, seeing people work together to get debt-free, pay off mortgages and more. It's free to join, and open to all – see the Petrol/Diesel Diet discussion.

How much can you save?

The savings from following the five-step system can be huge. For someone who drives 15,000 miles a year averaging 35 miles per gallon (12.4 km/L), just buying petrol at the average UK price would cost £2,077 annually as of May 2020. Cutting this spend by 25% could save £519/year.

To work out the initial approximate cost of running your car, Gov.uk has a fuel consumption search tool (it's best for new cars) which will help you work out roughly how much it'll cost you to run your car. Motoring website Honest John also has a handy 'real MPG' section where drivers have reported the miles per gallon they actually get.

Fuel cost-cutting

ANNUAL MILEAGE	AVERAGE ANNUAL COST (1)	CUT FUEL COSTS BY 5%	CUT FUEL COSTS BY 20%	CUT FUEL COSTS BY 25%	POTENTIAL MAX SAVING
5,000	£692	£657	£554	£519	£173
15,000	£2,077	£1,973	£1,662	£1,558	£519
30,000	£4,154	£3,946	£3,323	£3,116	£1,038

(1) Cost of unleaded at 35 miles per gallon (12.4km/L) at 106.7p/L. Last updated: May 2020.

How does the cost of fuel break down?

Tax makes up a hefty portion of a litre's cost. The current fuel duty rate for petrol and diesel is set at 57.95p/L, and you pay 17.78p/L VAT on petrol and 18.64p/L on diesel.

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Cheap Petrol & Diesel

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