Let's go back a bit (wider perspective etc). In 1957, after the Suez war, a gallon of 4-star was the equivalent of £4.16; and in 1916 a gallon cost the equivalent of £6.65, due to taxation.
Petrol tax was abolished in 1921. Petrol was cheapest in 1928 and 1949,when it cost £1.77 and £1.92 respectively. In recent history, petrol was cheapest in real terms in 1990 at £2.40 a gallon.
From 1928 to 1938 duty was introduced on light hydrocarbon oils and almost doubled over the period. From 1939 to 1950 (WW2 & aftermath)), petrol rationing held the price of petrol down.
* To convert the figures into price per litre, divide by 4.54609.
* The data should be treated as a guide only of prices at 1999 levels. Pre-1914, petrol prices were not clearly recorded and motorists often paid what the retailer demanded.
I remember saying that when petrol reached 50p (ten bob)* a gallon I'd give up motoring. Ha ha.
*Don't know what that'd be worth today but I was earning about £15 a week at the time
Edited by Teapot, 10 June 2008 - 07:05 AM.