Diesel dips below £1.20 a litre for the first time in 2 YEARS as Asda initiates a 2p per litre cut on fuel prices
- Asda has cut the price of both petrol and diesel by 2p a litre from today
- Motorists will pay no more than 116.7p for a litre of unleaded and 118.7p for diesel
- The reduction cuts fuel prices to their lowest since April 2019
- It also means diesel has dropped below £1.20 a litre for the first time in 2 years
Asda has announced a fresh new price cut of 2 pence per litre on petrol effective today.
Motorists who brim their cars at the store’s forecourts will pay no more than 116.7p for a litre of unleaded and 118.7p for diesel.
This not only means that fuel as a whole is now at its lowest price since April 2019, but it also marks the first time diesel has dipped below the £1.20-a-litre mark for almost two years.
Asda’s new fuel price cut: The supermarket has announced a fresh new reduction of 2 pence per litre on petrol effective from today
Drivers filling up at any of the supermarket’s 322 UK petrol stations will be paying up to 9p a litre less for fuel than they were at the start of January following two previous price cuts before today’s in response to declining wholesale costs.
The previous reduction came on 5 February, when Asda initiated a price war with rival supermarkets by slashing 4p off a litre of diesel and trimming 2p from petrol costs.
Dave Tyrer, Asda’s senior fuel buyer, said: ‘Once again we’re pleased to be passing on wholesale cost reductions to customers.
‘It will be a welcomed boost, especially to diesel drivers who are seeing some of the lowest fuel prices since 2018.
‘Anybody filling up at Asda will pay no more than 116.7ppl on unleaded and 118.7ppl on diesel regardless of where they live.’
Motorists are now paying up to 9p a litre less for fuel than they were at the start of 2020 following two previous cuts initiated by Asda
The AA says it is time other major fuel retailers to pass on savings to motorists.
It accused the wider industry of pocketing surplus funds from cheaper oil and wholesale costs for weeks, allowing them to profit from the nation’s already hard-pressed drivers.
Luke Bodset, the fuel price spokesman for the motoring group said: ‘Mid-February saw the chunk of the petrol pump price that is directly attributable to the fuel trade grow to its biggest in more than a year.
‘Stripping out tax and wholesale costs – from two weeks before to allow changes to reach pumps fully – left an 11p surplus for retailers and suppliers – around 2p up on the same time last year.’
The AA has accused some fuel retailers of profiting 11p per litre by not passing on wholesale savings to motorists
Bodset added: ‘This has come as too many forecourts held on to savings from lower wholesale costs feeding through to their pumps.
‘Even when Asda announced its second price cut of the year, a 3p-a-litre reduction on Wednesday 29 January, it took until the following Monday for the UK average to drop just a penny as other retailers squeezed another weekend’s worth of high prices out of consumers.’
The remaining big four supermarkets – Morrisons, Sainsbury’s and Tesco – are now expected to match Asda’s cuts.
As has been the case already this year, these are not likely to come on the same day, meaning motorists may have to wait until later in the week to benefit from cheaper pump prices depending on which fuel retailer is closest to them.
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