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Fuel Prices

Average Cost of Fuel Per Year for UK Drivers (2026)

2026-07-21 · 5 min read

How much does the average UK driver spend on fuel each year? According to NimbleFins analysis of Department for Transport mileage data and April 2026 fuel prices, the average petrol car driver spends around £1,122 per year, while diesel drivers pay significantly more at around £1,448 per year. But these are averages, and your actual fuel bill depends heavily on your mileage, your car's efficiency and where you fill up. (source)

£1,122
Average annual fuel spend for a petrol car driver in the UK (2026)
£1,448
Average annual fuel spend for a diesel car driver in the UK (2026)
£200+
Potential annual saving from consistently using the cheapest nearby station

Why do diesel drivers spend more despite better MPG?

Diesel engines are generally more fuel efficient than petrol equivalents, typically achieving 15-20% better MPG. However diesel fuel costs significantly more per litre, currently around 188p per litre against 156p for petrol. More importantly, diesel drivers tend to cover significantly more miles per year. According to NimbleFins, petrol cars average 6,200 miles per year while diesel cars average 8,300 miles, as higher-mileage drivers are more likely to have chosen diesel for its efficiency.

How annual fuel costs have changed

Fuel costs in 2026 are significantly higher than in late 2025. Petrol prices rose by around 14p per litre between February and May 2026, following the conflict in the Middle East which disrupted oil supplies through the Strait of Hormuz. For a driver using 800 litres per year, that 14p rise translates to an additional £112 per year compared to late 2025 prices.

The current average of £1,122 for petrol drivers compares to around £980 in late 2025 when petrol was closer to 142p per litre. Diesel drivers have seen an even larger increase as diesel prices have risen proportionally more.

How much fuel do different types of driver spend?

Annual fuel costs vary enormously depending on how much you drive. Here are estimates for a 40 MPG petrol car at current prices of 151p per litre:

Driver type Annual mileage Litres per year Annual fuel cost
Low mileage 5,000 miles 568L £886
Average UK driver 7,100 miles 807L £1,259
Above average 12,000 miles 1,364L £2,128
High mileage 20,000 miles 2,273L £3,546

How to calculate your own annual fuel cost

Use this formula to work out your personal fuel spend:

Annual cost = (Annual miles / MPG) x 4.546 x price per litre / 100

For example, 10,000 miles per year, 35 MPG, 151p per litre: (10,000 / 35) x 4.546 x 1.56 = £2,027 per year.

Our fuel cost calculator does this automatically. You can enter your registration plate to look up your fuel type and estimated MPG, then enter your annual mileage to see your personalised figure. It also shows how much you could save by using the cheapest nearby station.

How much can you save on your annual fuel bill?

There are three main levers for reducing annual fuel costs:

1. Choose where you fill up

In most UK areas, prices vary by 8-12p per litre between the cheapest and most expensive station within 10 miles. On 800 litres per year, a consistent saving of 10p per litre saves £80 per year. On 1,500 litres, that saving doubles to £150. Use our live fuel price map to find the cheapest station near you, updated every hour from official Government data.

2. Improve your fuel efficiency

Reducing your fuel consumption by 10% through smoother driving, correct tyre pressures and removing unnecessary weight saves 10% of your fuel bill. On an average annual spend of £1,259, that is a saving of £126 per year. Our MPG improvement guide covers 15 techniques in detail.

3. Track your spend

Drivers who actively monitor their fuel costs tend to spend less, simply by being aware of the numbers. Use our annual fuel cost calculator to establish your baseline, then track how it changes as you make adjustments.

Will fuel costs fall in 2026?

Whether annual fuel costs fall in the second half of 2026 depends largely on the geopolitical situation in the Middle East. If the conflict eases and oil supply through the Strait of Hormuz normalises, prices could fall 10-15p per litre from current levels. If tensions escalate, prices could rise further. See our May 2026 fuel price update for the latest analysis.

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