UK drivers hammered by 'rocketing' pump prices as Iran war escalation sends oil back over $100 a barrel

By JAMES TAPSFIELD, UK POLITICAL EDITOR Published: 15:30, 23 July 2026 | Updated: 15:46, 23 July 2026 British drivers are facing 'rocketing' pump prices as fresh Iran war escalation pushes oil prices back to two-month highs. The RAC has sounded alarm after diesel surged by 8p a litre in the past fortnight, with petrol up around 5p.   The pain is only set to get worse after Brent Crude spiked back over $100 a barrel this afternoon, the highest in two months. Donald Trump and Tehran have been ramping up rhetoric with more strikes taking place after a tentative ceasefire disintegrated. However, markets have been particularly spooked by Iran-backed Houthi militants hitting two Saudi oil tankers. The attack suggests a second chokepoint on the world's oil supplies amid Iran's near-closure of the Strait of Hormuz, which typically carries around a fifth of the world's oil and gas. The RAC has sounded alarm after diesel surged by 8p a litre in the past fortnight, with petrol up around 5p Brent Crude has been climbing all day, cresting $100 per barrel at around 2.45pm Your browser does not support iframes. The Yemeni group said it deployed missiles and drones to strike the vessels Encelia and Layla, accusing them of violating its embargo of the Red Sea. It followed the Houthis' announcement this week they were imposing a maritime blockade on Saudi Arabia - threatening to unravel a four-year ceasefire with the Kingdom. Brent Crude has been climbing all day, cresting $100 per barrel at around 2.45pm.  RAC head of policy Simon Williams said: 'Fuel prices are shooting up like a rocket on the back of oil being above $90 for the last few days.  'The average price of diesel has gone up almost 8p (7.62p), or 5 per cent, to 172.14p a litre in the last fortnight while petrol has risen by 5p in two and a half weeks to 155.57p, a 3 per cent increase. 'All the cuts of the last few months are sadly being reversed, with the price of unleaded now heading back up towards 160p and diesel to a shocking 180p.  'If petrol was to climb to 160p, it would surpass its Iran war high of 159.53p, seen on 28 May.  'Unless the renewed conflict is brought to an abrupt end soon, it's looking like UK drivers are going to suffer some stinging summertime pump prices.' Donald Trump and Tehran have been ramping up rhetoric with more strikes taking place after a tentative ceasefire disintegrated Pictured: Houthi supporters hold up their weapons during a protest against Saudi Arabia The Houthis control ⁠northern Yemen, including territory along the Bab el-Mandeb, a vital maritime trade route that links the Red Sea to the Gulf of Aden and the Indian Ocean. While the rebels have not formally announced the closure of the waterway, as some had feared might happen, the militia group's threat to ships using Saudi ports has raised serious concerns over the safety of navigating a channel used by 7 per cent of global maritime traffic.