Diesel prices, autumn 2026: hauliers squeezed as fuel nears a record high

This article is for haulage, logistics and transport operators who want to know what rising fuel costs and the fuel duty plans mean for their business. Diesel is the biggest variable cost in road freight, and it has climbed sharply in 2026. Below we set out the figures and the funding options for hauliers. Smart Funding Solutions is a broker, not a lender: we compare whole-of-market options across 300+ lenders, arranging funding from £10,000 to £20 million.

01How high is diesel?

On 25 September 2026, the RAC reported that the average price of diesel was 198.32p a litre, against an all-time high of 199.09p. Petrol averaged 173.6p. Simon Williams, the RAC's head of policy, said "The average price of diesel is teetering on the brink of a new all-time high at 198.32p".

For hauliers, that matters more than for most businesses. As Logistics Business reported on 30 September, fuel makes up about a third of operating costs, and industry estimates put the increase at roughly £300 a week for each truck. A ten-truck operator could be paying around £3,000 a week more than it did earlier in the year.

02Why hauliers cannot pass it on

Citing Road Haulage Association research, the same report said only one in ten operators can pass fuel increases on to customers in full, while eight in ten absorb at least some of the cost. Haulage margins are thin, often around 2%, so even a few weeks of higher fuel can wipe out profit on a contract.

An RHA survey of 550 road transport businesses earlier in 2026 found that 84% had seen margins fall and more than half said higher fuel costs were straining cash flow. Contracts priced months ago, fuel surcharges that lag behind the pump price and customers who pay on 60 days or more all add to the squeeze.

03Fuel duty and the Budget

Fuel duty is currently 52.95p a litre, including a temporary 5p cut first introduced in 2022 and extended to 31 December 2026. As Trans.info reported on 10 September, without a change the rate would rise by 3p on 1 January 2027 and by a further 2p on 1 March, restoring the full 57.95p, with ministers saying final rates will be confirmed in the Budget on 28 October.

Research for the RHA estimates that a 5p rise would add £2,325 a year to the fuel bill of a single lorry. Richard Smith, managing director of the RHA, said: "A fuel duty hike is a food price hike."

See our Autumn Budget 2026 article for what else is expected, and our article on company insolvencies for the wider picture.

04Funding options for hauliers

• Invoice finance releases cash against unpaid freight invoices, so you can pay for fuel while customers take 30 to 90 days to pay.
• Asset refinancing releases cash from trucks and trailers you already own.
• Vehicle and fleet finance spreads the cost of newer, more fuel-efficient vehicles, through options such as hire purchase.
• Working capital loans cover fuel, wages and maintenance while surcharges catch up.

Our haulage and HGV finance page explains how lenders view operators, and our transport and logistics finance page covers the wider sector, including couriers and van operators.

05What lenders look at for hauliers

Lenders who understand haulage look at your operator's licence, the age and value of your fleet, your customers and how long they take to pay, and your margins after fuel. For asset refinancing, the value of your trucks and trailers sets how much can be released, so a recent fleet list with registrations and mileages helps. For invoice finance, a spread of established customers on written terms is better than one or two customers taking most of your work. Showing that your contracts include fuel surcharge clauses, or that you are renegotiating them, reassures a lender that higher fuel costs will not keep eroding your margins.

06How to compare your options

1. Work out your weekly fuel bill now and what it would be if duty rises in January.
2. Review your contracts for fuel surcharge clauses and how quickly they adjust.
3. Have your aged debtors list, fleet list and latest accounts ready.
4. Use Instant Quotes to see your lender matches instantly, with no credit check.
5. Compare offers on total cost and on how quickly funds arrive.

Fuel costs are outside your control, but how you fund the gap is not. Get your Instant Quotes to see which lenders could back your haulage business. Lenders make every decision, and all finance is subject to status.