Brent crude traded at $92/bbl at the beginning of September and despite rising to a month-high of $96/bbl, declined to $89/bbl by the end of the month, due to weakened demand caused by a global recession and monetary tightening, alongside the dollar reaching its strongest price in two decades.

GBP traded at $1.15 against USD at the start of the month, reaching $1.17 before declining to $1.10, ending the month at its lowest level since 1985 as the Bank of England raised interest rates to combat inflationary pressure and the UK government announced a controversial tax cut plan. Based on current wholesale diesel prices, a five-cent drop in GBP equates to a c. 3ppl increase in the price of UK diesel.

Following Vladimir Putin’s announcement of a partial moblisation of troops, the European Commission is proposing a price cap on Russian oil as part of its latest sanctions package against Moscow over its war with Ukraine, despite Russia stating it will stop supplying crude oil and petroleum products to countries that impose a price cap.