Major retailers are failing to reduce petrol prices in line with falling wholesale costs, the RAC has warned.

The roadside recovery firm said the wholesale cost of unleaded – the price when it arrives at forecourts – is now back down to its early May price of 131.75p per litre, which saw average pump prices of around 167p per litre.

But drivers are currently paying an average of 183p per litre at pumps across the UK despite the drop in wholesale costs, the RAC said.

It comes after fuel prices hit their highest-ever levels earlier this summer as the UK’s cost-of-living crisis began to bite.

The wholesale cost of petrol has fallen by 20p since early June, according to the RAC.

Yet UK retailers continued to increase their prices in June and only dropped their pump prices by an average of 9p during July, the organisation said.

In Abergavenny, however, the owners of one family-run BP petrol station have seen huge queues of drivers turning up recently after they slashed petrol prices to more than 20p cheaper than many other garages.

The Bailey's garage in Brecon Road is currently offering a litre of unleaded for 163.9p.

South Wales Argus: Queues at the Brecon Road BP garage in July.Queues at the Brecon Road BP garage in July.

Here we've taken a look at the cheapest places to fill up across the Gwent region.

The information below is for a litre of unleaded petrol as listed on petrolprices.com on August 3 at midday.

BLAENAU GWENT

Gulf Blaina: 168.9p

Gulf Brynmawr: 169.9p

Murco Brynmawr: 174.9p

Tesco Abertillery: 174.9p

CAERPHILLY COUNTY BOROUGH

Asda Blackwood: 176.7p

Tesco Ystrad Mynach: 176.9p

Texaco Newbridge: 177.7p

Sainsbury's Pontllanfraith: 177.9p

Morrisons Bargoed: 178.7p

MONMOUTHSHIRE

BP Abergavenny, Brecon Road: 163.9p

Esso Abergavenny: 175.9p

Gulf Caldicot: 177.7p

Shell Abergavenny: 177.9p

Texaco Chepstow: 179.9p

NEWPORT

Gulf, Chepstow Road: 174.9p

Asda Pillgwenlly: 178.7p

Tesco, Cardiff Road: 178.9p

Texaco, High Cross Road: 178.9p

Tesco Spytty: 178.9p

TORFAEN

Gulf Blaenavon: 179.9p

Texaco Cwmbran: 181.9p

Tesco Pontypool: 181.9p

Sainsbury's Cwmbran: 182.9p

Morrisons Cwmbran: 182.9p

Texaco Pontypool: 182.9p