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How do petrol prices in the UK compare to those in the rest of Europe?

By Mathilda Bartholomew | January 26, 2024

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Despite complaints about high taxes, the UK's percentage tax take is mid-table compared to European counterparts, showcasing a downward trend in fuel taxation since 2003

How do petrol prices in the UK compare to those in the rest of Europe?

According to the latest data from the Department for Energy Security and Net Zero and the EU, the United Kingdom ranks as the ninth most expensive country in Europe for petrol prices.

Following the global surge in fuel costs prompted by the Russian invasion of Ukraine, December's data reveals that premium unleaded in the UK averaged 143.7p per litre. The Netherlands topped the list with a price of 163.7p per litre, making it the most expensive petrol in the European market.

Throughout December, drivers in Denmark, Greece, France, and Germany also faced prices exceeding 150p per litre, while Romania boasted the lowest petrol prices at 114.4p. Spanish drivers paid approximately 133p, and even Sweden had lower prices than the UK, averaging 139.1p.

Despite frequent complaints from UK drivers about the high tax on petrol, which currently accounts for 53% of the pump price, the data indicates that the UK is in the middle of the pack when it comes to the percentage of tax compared to European counterparts. In the previous year, Finnish drivers contributed 59.3% of the fuel price to government coffers, while Cypriot drivers had a relatively modest tax burden of 42.5% per litre.

Comparing UK average prices to EU member countries' averages, the data highlights a downward trend in UK fuel taxation since the days of Tony Blair's Labour administration. In 2003, UK petrol prices ranked second highest in Europe, and under Chancellor Gordon Brown, the treasury claimed a staggering 77% of the fuel price per litre.

By 2013, Conservative Chancellor George Osborne had halted UK fuel duty increases, reducing the tax rate on a litre to 61% of the pump price, which averaged 130.8p in December that year. At that time, UK prices were comparable to Germany's, while Italy faced higher prices at 145.8p, and recent EU joiners like Romania paid as little as 102p per litre.

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