Back in July (when diesel prices were around 135p/litre), I suggested that petrol-engined cars might experience a resurgence in popularity against diesels, thanks to lower fuel costs and improved fuel economy.

Much of diesel’s recent popularity has been due to its superior fuel economy, but now that it is so much more expensive than petrol (14p/litre more at my local garage) the differences in fuel economy have become much less impressive.

For example:

Diesel car/van travels 40 miles at 40mpg: Fuel cost £4.75 (£1.079/litre)

Petrol car/van travels 40 miles at 30mpg: Fuel cost £5.50 (£0.939/litre)

Although the petrol vehicle still costs more to fuel, the difference is much smaller than it was – especially when you factor in the greater purchase and maintenance costs of diesels.

New figures from GE Capital Solutions’ Fleet Services division suggests that the swing back to petrol might already be underway in the fleet car market – albeit in its early stages.

10.7% of those surveyed reported that there had been an increase in the number of petrol-engined vehicles in their fleet over the last 12 months – against only 3% for diesel.

These figures aren’t yet backed up by new registration figures, which show that fleet registrations of diesel cars are up this year, from 486,000 in the first ten months of 2007 to 511,000 in the same period this year.

However, I do believe that the balance of fuel choice will tip back towards petrol a little over the next few years. Not entirely – modern diesels are very practical for high-mileage applications – but for lower mileage drivers at least.

Source: Fleet News