Organisations across the West are facing mounting financial pressure as fuel costs continue to climb, driven by geopolitical tensions in the Middle East. Charities delivering essential services and coach operators running long-distance routes have been forced to dip into reserves, raise fares, and intensify fundraising efforts to stay operational.
Diesel prices have reached unprecedented levels. According to energy market analysis, UK average diesel prices hit a record 199.18p per litre on 28 September, surpassing the previous record of 199.09p set in June 2022. Petrol has climbed to 174.8p per litre. Over the past month alone, petrol has increased by 8% while diesel has risen by 9%. Since the US-Israel conflict with Iran erupted seven months ago, the cumulative jump has been far steeper: nearly 34% for petrol and more than 40% for diesel, equivalent to an extra 42.5p per litre of petrol and 59p per litre of diesel.
The impact on household and business budgets has been severe. According to the RAC, filling an average family car with diesel now costs almost £110—about £31 more than before the conflict began.
How are charities coping with the rising costs?
Medical supply charities have been among the hardest hit. Alex Wood from the Yeovil branch of Freewheelers, which delivers blood samples and other medical supplies by motorbike, described the situation as having a
hugeimpact on operations.
This year since January, it's gone up 20% so it's quite a big increase across our operational costs. It's so unpredictable too.
The charity has been forced to draw down its reserves to maintain service delivery.
We're having to do a lot more fundraising so that we can keep operating,Wood explained, adding that
we just have to keep going as best we can, we have to keep plodding on.
What pressure are coach operators facing?
Long-distance coach services have absorbed substantial cost increases. Berry's Coaches, which operates five daily services from the South West to London, has seen its annual fuel costs rise by £750,000 since the conflict began. The company has responded by introducing a £2 surcharge on each leg of the journey to London, while absorbing additional costs internally.
James Berry, the company's operator, acknowledged the situation
has had a big impact, but expressed confidence the business could
weather the stormas it had done before in its 100-year history. He called on the government to take stronger action, saying
the government have delayed the rise in fuel duty but relatively that's quite a small impact - it will go up by 5p at some point by 2027. Really what we would like to see if further fuel duty cuts. That would be a huge benefit from the industry.
A taxi company based in Stroud in Gloucestershire previously described the current situation as a
complete nightmareas it faced
continual pressure to lowballits prices to stay afloat.
How do fuel prices vary across the region?
Analysis of local pricing data reveals significant variation between fuel stations across the West, even when excluding motorway service stations that typically charge premium rates. Some towns consistently charge more than others. Clevedon, Portishead and Weston-super-Mare are among the most expensive locations in the region.
The most expensive petrol stations identified include EG on Gloucester Road and Texaco on High Street in Shirehampton at 176.9p per litre, while Markham Filling Station in Easton-in-Gordano reaches 180.0p. Stanmoor Garage in Burrowsbridge, Bridgwater and Phillips Tyres in Castle Carey both charge 186.9p per litre. Other notably expensive locations include Shell at Bournville Service Station in Weston-super-Mare at 181.9p, and Esso on the A303 near Warminster at 185.9p.
Diesel prices show even greater variation. Shell at Bournville Service Station in Weston-super-Mare charges 208.9p per litre, while Kinch Fuel Oils Ltd in Malmesbury reaches 230.0p. BP at St Andrews Road in Avonmouth, Texaco on High Street in Shirehampton, and Esso on Gloucester Road all charge 202.9p per litre. ASDA at Bath Road in Marksbury and BP on London Road in Wick both charge 203.9p.
How does the UK compare internationally?
The UK's fuel crisis reflects broader European energy pressures. According to the RAC's European comparison, the UK was tied with Italy for the seventh-highest diesel prices among 15 European countries as of 21 September.
What government action has been taken?
Chancellor John Healey acknowledged the pressure facing households and businesses.
I'm very conscious of people being hit by spiralling fuel prices caused by international factors,he said at the Labour Party Conference. He noted that he was
gladto have frozen fuel duty until the end of the year and introduced fuel finder apps to help consumers locate cheaper petrol stations.
I'm very aware as I prepare the budget - I'll deliver it a month today - that this needs to be a breathing space budget, recognising the cost of living and the cost of business pressures,Healey stated.
The government has also confirmed it is not planning fuel rationing or 50mph speed limits, and said forecourts are being supplied as usual.
What happens next?
The government's 5p fuel-duty cut was due to end in August 2026, with rates scheduled to return gradually to previous levels over five years. Industry representatives have called for further duty cuts rather than allowing the planned increases to proceed, arguing that the gradual return to previous rates would place additional strain on already pressured businesses and charities.
Key Facts
- UK diesel prices hit a record 199.18p per litre on 28 September 2026, surpassing the previous record of 199.09p from June 2022
- Petrol prices have risen 34% and diesel 40% since the US-Israel conflict with Iran began seven months ago
- Freewheelers charity has experienced a 20% increase in operational costs since January 2026 and is drawing on reserves
- Berry's Coaches has absorbed £750,000 in additional annual fuel costs and introduced £2 surcharges on London routes
- The UK ranks seventh-highest for diesel prices among 15 European countries, tied with Italy
