For many households, rising petrol and diesel prices are no longer just numbers on fuel station boards — they are slowly changing monthly budgets, travel plans and even spending habits. After four fuel price hikes in May, many consumers say the impact is now being felt not only while filling up tanks but also through higher prices of everyday products and services.
In fact, families across India are already adjusting their routines to cope with rising costs, with many planning to cut back on non-essential travel and outings, according to a survey by LocalCircles.
After staying unchanged for several weeks, petrol and diesel prices have gone up four times in May 2026.
The latest increase on May 25 pushed petrol prices higher by Rs 2.61 per litre and diesel prices by Rs 2.71 per litre across major cities. Altogether, between May 15 and May 25, petrol prices have risen by Rs 7.35 per litre, while diesel prices have increased by Rs 7.53 per litre.
Oil marketing companies have linked the price rise to growing losses caused by higher global crude oil prices, supply worries and geopolitical tensions in the Middle East.
According to the survey, many households are already seeing a rise in daily costs due to repeated fuel price hikes.
When asked how the increase in petrol and diesel prices had affected their household budgets, 55% of respondents said transportation costs had gone up. Another 55% said prices of some products had increased, while 50% said certain services had become more expensive.
Overall, nearly five in ten consumers surveyed said the repeated fuel price increases had affected their household budget through higher costs of transport, products and services.
At the same time, 30% of respondents said they had not experienced much impact so far.
As fuel costs rise, many people are also changing how they travel and spend.
The survey found that 71% of respondents plan to reduce non-essential travel and outings to manage rising petrol and diesel expenses.
About 35% said they would combine multiple errands into fewer trips to save fuel. Around 29% said they would shift to cheaper travel options such as public transport, vehicle pooling, bikes or lower-cost app-based services.
Another 29% said they would cut spending in other parts of their household budget to manage fuel costs, while 24% said they would buy products and services from nearby or cheaper places to reduce travel expenses.
Meanwhile, 18% said they planned to postpone leisure spending, travel or non-essential purchases.
The survey received responses from more than 41,000 household consumers across 308 districts in India.
Of the respondents, 62% were men and 38% women. Around 42% were from tier-1 cities, 31% from tier-2 cities and 27% from tier-3, tier-4 and tier-5 districts.
The findings suggest that rising fuel prices are beginning to influence everyday behaviour, with many households looking for ways to cut costs as fuel bills continue to climb.