The NRMA is predicting that Australian motorists could be paying up to $1.80 a litre within months.

The closure of the Alaskan fields means that 8% of total US production is now gone and the closure is indefinite. The closure became necessary when BP discovered that much of the pipeline that is used to transport crude oil from the field is damaged and as much as 73% of it will need to be replaced.

Over time those increasing petrol prices are going to affect everyone, including those who live an affluent lifestyle. So it should come as no surprise that the luxury car market is beginning become a little soft although once you’ve experienced true luxury you really don’w ant to give it up if you can avoid it.

So in the US the luxury car market is beginning to see more owners trading their top of the range vehicles like this Hummer for entry level luxury cars.

But even worse may be to come for some buyers who until recently frequented the luxury car market are actually downsizing to cheaper and more affordable non-luxury cars.

I wonder what it’s like to move from a Hummer to a Hyundai Getz?