Skip To The Main Content

Supermarkets lower fuel costs

by  | 

The fuel price war between supermarkets appears to be continuing with Asda being the latest to drop their fuel prices even further.

Fuel prices are constantly changing as motorists have seen fuel costs hike to 136.8p per litre at the beginning of the year costing families £100 to fill up an average sized car.

The fuel war started earlier this year when major supermarkets throughout the UK lowered their prices in a bid to be the cheapest supermarket to provide fuel to their customers.

Asda have now announced that they will be dropping their prices by 2p per litre in a bid to help their customers leading up to Christmas. Unleaded petrol will now fall to 131.7p per litre and diesel will drop to 137.7p per litre.  The drop is due to Asda passing on the latest reductions in wholesale costs to drivers across the country.

Other major supermarkets such as Tesco and Sainsbury’s have also announced that they will be dropping their fuel prices highlighting that the battle to be the cheapest provider for fuel prices is still active.

However motoring experts have spoken out about the latest fall in prices saying it may not solve the problem of the cost of fuel for motorists.

RAC technical director David Bizley said: “These price cuts are welcome, but they only solve part of the problem. The price that motorists pay on the forecourt is almost 60% tax, with a recent study showing that a record 81p from every litre of petrol sold now goes to the Treasury in fuel duty and VAT.

“What the British economy desperately needs is fairer-priced fuel on a long-term basis, as a supporter of (campaign group) FairFuelUK, we are lobbying the Government to reduce the amount of tax on petrol and diesel, as we believe this will help to stimulate the economy and generate more income for the Treasury.”

© Copyright Autonet Insurance

By Amanda Bainbridge