Supermarkets Cut Petrol Prices By 2p A Litre

Petrol wars are driving down the price of fuel on the forecourt as two supermarkets announced they were cutting the cost by up to 2p per litre.

Asda announced that from Tuesday it would be taking 2p a litre off the price of petrol and 1p off a litre of diesel.

The supermarket said the cuts would mean that no one would pay more than 131.7p a litre for petrol and 137.7p for diesel.

It had already cut prices by 2p on petrol and 1p on diesel last week.

Asda's announcement was followed shortly by a similar statement from Tesco, which said it would be reducing its petrol by "up to 2p per litre" and cutting the price of diesel by 1p.

This is the second round of cuts from Asda

The cuts were welcomed by the RAC and the AA, who had accused the petrol retailers of keeping prices high and not passing on reductions to drivers.

Campaigners last week said that while oil price spikes caused by the threat of US intervention in the Syrian conflict had been passed on to the consumer, the reductions, when the price dropped again, had not.

However, they said that current analysis showed there was still scope for retailers to pass on reductions of at least 5p a litre in petrol and 2p a litre in diesel over the next two weeks.

Tesco has followed suit and announced it will cut prices from Tuesday

Pete Williams, the RAC's head of external affairs, said: "This is exactly the action we wanted to see as a result of the drop in wholesale prices that has taken place over the past couple of weeks.

"We are now looking for other retailers to follow suit so that motorists benefit wherever they buy their fuel and we expect this to happen over the next few days."

Andy Peake, Asda's petrol trading director, said: "Our national price cap on fuel benefits everyone across the country, meaning that no one filling up at Asda is forced to pay a premium for their fuel because of where they live."

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