G7 countries have agreed to release up to 100 million barrels of strategic petroleum reserves over four months as diesel prices reach record levels and concerns grow over global energy supplies.
The coordinated release, which will be managed through the International Energy Agency, will include a substantial release of diesel within the first 20 days, according to a joint statement issued after an emergency call on Friday.
The G7 members also agreed to refrain from restricting trade in oil products between one another and called on other producers not to impose export bans that could worsen market tensions.
The move follows pressure from the United States for European countries to use their fuel reserves. US Treasury Secretary Scott Bessent said European countries should “immediately” make additional supplies available, while President Donald Trump said he had been considering a ban on US diesel exports.
Transport Minister Keir Mather said people should not be concerned about shortages in Britain, describing the country’s diesel supply as “robust” and “resilient”.
“I want to reassure people this morning that the United Kingdom has got a diverse range of supply when it comes to diesel,” he told broadcasters.
“People shouldn’t be concerned about shortages because of the inherent resilience that is built into that system.”
The UK imports nearly 55% of the diesel it uses, with the US accounting for around 31% of those imports. A US export ban would force Britain to compete with other countries for alternative supplies.
Average diesel prices reached 200.01p per litre on Friday, according to RAC figures. The previous record was 199.09p, recorded in June 2022 after Russia’s invasion of Ukraine.
RAC head of policy Simon Williams said prices were showing “no signs” of slowing down and that filling an average family car now cost £110, almost £32 more than at the start of the conflict involving the US and Iran.
Experts have warned that releasing emergency stocks could provide a short-term buffer by improving availability and limiting extreme price movements, but would reduce protection against future disruptions until the reserves were replenished.
The UK is required, as a member of the International Energy Agency, to hold oil stocks equal to at least 90 days of net oil imports. The reserves can be used in response to severe disruptions in global markets.
