A storm in the North Sea helped to push the oil price closer to $100 a barrel today, as the average price of a litre of petrol broke through £1 for the first time in the UK.

A barrel of US light crude oil hit a new all-time high of $98.62 this morning, having reached $97.07 in fevered trading yesterday. Brent crude also rose again, hitting a new high of $95.19.

The rise was partly spurred by the declining dollar, which hit a new 26-year low of $2.1053 against the pound in morning trading in London.

Traders said there were also fears that a severe storm, named Andrea, will disrupt supplies. Andrea is expected to reach her maximum power on Friday morning, and waves as high as 11m and winds of 110 km have already been recorded.

Two oil companies have already evacuated oil workers from some platforms. BP has said it will suspend its Valhall oilfield, which generates 80,000 barrels a day, on Thursday night and move 150 people off its platforms. ConocoPhillips, the US energy company, is moving 400-500 staff and may temporarily shut up to five platforms.

One report has claimed that some older platforms have sunk closer to the sea's surface following subsidence on the seabed.

Fears of oil shortages have helped to drive the oil price higher in recent weeks, ahead of rising demand in Western countries this winter. However Opec, the group of oil-producing nations, have denied that supply shortages are responsible. It has blamed speculators.

The AA warned today that petrol today rose to an average of 100.08p per litre, from 99.68p yesterday.

"The larger than usual daily rise suggests that in addition to market forces more and more retailers are accepting that they have to break through the psychological £1.00 per litre barrier, and it is likely that with the average now through the barrier more will follow," said Andrew Howard, head of road safety at the AA.

"This, coupled with steadily rising prices on the world oil markets mean that relief for the British motorist is unlikely in the near future," Mr Howard added.

Other commodities have also been soaring. Today gold jumped to $836.75 an ounce, partly thanks to the weak dollar.