Supermarkets cut petrol prices

Petrol nozzle

The cost of petrol is being cut at the pump as supermarkets enter a pricing war to try to offer customers competitive prices.

Both Morrisons and Asda have this week reduced the price of unleaded by 2p a litre and diesel by 1p. Meanwhile, Tesco has also cut the price of unleaded by 1p a litre and is offering customers who sign up for its credit card before 2 September £5 off their next fuel purchase when spending at least £20.

Cheryl Kuczynski, spokesperson for Sainsbury's, was unable to comment on if and when the retailer would reduce its petrol prices but said: "We know that high fuel prices are having a big impact on household budgets.

"We are doing everything we can to help our customers to save money and along with the promotions we run in our stores, competitive fuel prices and fuel promotions are a great way for us to help shoppers to meet their weekly budgets."

Leading the way

On a brighter note for motorists, Julian Bailey, spokesperson for Morrisons, says: "If prices do go down further we will be one of the first supermarkets to pass these costs onto consumers."

The price of Brent crude has fallen below $100 this week for the first time in six weeks, in response to growing concern about economic growth in the US after Standard & Poor's shocked the world by slashing the superpower's prized AAA rating.

Paul Watters, spokesperson for the AA, says petrol prices need to go down further in reaction to falling oil and wholesale prices around the world but believes there has only been a "miniscule" reduction in the cost of petrol so far and customers should expect prices to be reduced further.

"The price of oil has dropped but this has not properly filtered through the customer yet. The supermarkets will lead the pack with price cuts and smaller petrol stations will have to follow suit," he adds.


More about

Your Comments

Here in Derby the prices have gone up for fuel over the past couple of weeks. I will have to see whether Asda has cut its prices in Derby later when I go to fill up my tank.

Frankly, with the cost of fuel at an average of £1.40 per litre, a reduction of 1 p/L is ludicrous & worth absolutely tat!

I don't know about petrol prices being slashed. I paid more than I have ever paid before at Tesco yesterday. Their prices were up 2p a litre from 2 weeks a go'

I don't expect we will see reductions in home fuel prices. Always quick to put up but drag their feet to reduce. The watchdog needs to be on the fuel companies backs to make reductions faster.

2p off a litre of petrol. Big wowee. That will save £1 on a 50 litre tank. Not going to make a jot of difference to anyones finances and not even worth reporting. This isn't going to influence me to choose one supermarket over another for my petrol in fact I will propbably still go to sainsburys or bp just to get the nectar points and save money off my groceries in sainsburys or stuff from Argos. Come back and let us know when they taken at least 10p of the ridiculous astronomical petrol prices. Then I might start to take notice.

I hardly call 2p off a litre of unleaded or 1p off a litre of diesel as "slashing" prices! You could use all the saving by queueing up in the rush to get cheap fuel!Fuel prices have only returned to what they were a week ago and the more cynical of us would say they only went up so they could be put down!

Let's not lose our heads! Fuel prices will have to come down a hell of a lot more before it will have any effect on the household budget!

Nice to see petrol prices falling. Tesco, Newtownabbey increased their price from £1-34.9 on Wednesday to £1-35.9 today (Friday). Some decrease!

The Government must show consideration to the people by reducing the amount of VAT and fuel tax they take when crude prices rise and adjust accordingly when they fall. This will also help to stabilise prices of goods in the shops. Furthermore a special consideration should be made to those of us who live in rural communities and have to use cars where no public transport is available.

spend £60 shopping tosave £6 at the pump price what a joke why not knock 50p off a litre not 5p or 10p when spending £60 in the shop

What about heating oil prices?

to Morrisons, how about cutting the price of your groceries, they just keep going up, if Aldi can hold thier prices so can youand they do sell excellent goods.
love shopping in Morrisons in Brecon, super staff always a smile and good humour abounds but as we are very old oaps we have to go where the price is right so come on as 'every little helps' doesnt!. !!!!!!!! Tesco is even more costly than you.

This is so annoying. Its become too expensive to drive!

I would like to know when the UK Government is going to step up to the plate and force fuel prices down, both by cutting fuel duty and forcing petrol retailers to cut prices.

I heard someone from the Petrol Retailers Association commenting on the Radio that they have very little scope for reducing fuel prices at the pump because of higher oil prices and weak dollar etc. If my maths are correct this is a load of rubbish, and is a front for ripping off customers.

I have looked at Oil Prices, Dollar Exchange Rates & Fuel Prices excluding Duty and VAT going back to February 09.

In Feb 09, Oil was $38 dpb with and US$ exchange rate of $1.45, roughly equating to £26 per barrel. At that time the basic cost of Diesel was 20.4p per litre. Rough maths would indicate you therefore get 129 litres of diesel per barrel of oil.

In May 11, Oil was $113 dpb with and US$ exchange rate of $1.66, roughly equating to £68 per barrel. At that time the basic cost of Diesel was 54.6p per litre. If you divide £68 by 129 this gives 53.1p litre. i.e broadly on par with a slight increase.

Skip forward to August 11 Oil is around $87 dpb with and US$ exchange rate of $1.64, roughly equating to £53 per barrel. The basic cost of Diesel is 58.6p per litre. If you divide £53 by 129 this gives 41.2p litre.

This either means that the oil companies are far less efficient since May and can only squeeze out 90 litres of Diesel from a barrel of oil (Highly Unlikely IMHO)


They have just decided that they should profit to the tune of about 16.5p per litre compared with 3 months ago.

Petrol prices are rising here - no sign of any "slashing" of prices so I don't know where these garages are. I keep an eye on my local prices (west london), Lancashire where my mother lives & Devon where my daughter lives. Although prices vary todays price guide shows prices rising everywhere!