Fuel prices are likely to hit £2 per litre over the summer, UK drivers have been warned. 

The RAC has made the prediction in the face of rising oil prices and as the pound stumbles lower against the US dollar. 

The pound fell as much as 0.7% to 1.24 US dollars and half a cent to 1.17 euro on Tuesday amid uncertainty over Prime Minister Boris Johnson's future. 

Government figures show the average price of a litre of petrol at UK forecourts on Monday was a record 175.6p, up 6.6p from 169.0p seven days earlier.

Average diesel prices increased by 3.7p per litre over the same period, reaching 185.3p.

That was the largest weekly increase for both fuels since March.

In March, one Scottish town saw prices soar to £1.99.9 for a litre of diesel. The unleaded price at Shell's BAwbee filling station in Leven, Fife reached 1.76.9. 

RAC fuel spokesman Simon Williams said: “With analysts predicting that oil will average 135 US dollars a barrel for the rest of this year, drivers need to brace themselves for average fuel prices rocketing to £2 a litre, which would mean a fill-up would rise to an unbelievable £110.

“The oil price is rising due to increased demand for fuel across the world as China eases its Covid restrictions and America and Europe go into the peak summer driving season.

“All this combined with a weaker pound at 1.2 US dollars means wholesale fuel costs more for retailers to buy.

“The wholesale price of diesel is fast approaching 160p a litre which, when you add 7p retailer margin and 20% VAT, would take the pump price over the £2 mark.

“We strongly urge the Government to take drastic action to help soften the impact for drivers from these never-before-seen pump prices.”

The Treasury cut fuel duty by 5p per litre in March.

Separate pump price figures from data firm Experian Catalist – which uses a different methodology to the Government – suggest the average cost of a litre of petrol on Monday was 178.5p, with diesel at 185.2p.