Asda Fuels Petrol Price War
By Laura Elliott.
Walmart-owned retailer Asda has fuelled a new supermarket petrol price war, with the announcement that it will slash the cost of its fuel by 3p per litre. Sainsbury’s and Morrisons have since responded by dropping their own fuel prices.
The new cuts in the price of fuel mean that Asda’s prices are now at their lowest for over a year. Crucially, the price drop means that fuel at the retailer’s forecourts is now 11p cheaper than it was at the April peak.
Despite this, calls are still growing for greater price cuts by supermarkets and garages to correspond with the falling cost of oil, which has dropped by 25% since the end of March this year.
As reported by The Sun, Andy Peake, Asda’s director of petrol trading, said that “Motorists will be pleased to know fuel is now at the lowest price in over a year. Unlike other retailers, our price cuts benefit everyone across the country, meaning that no-one filling up at Asda will be forced to pay a premium for their fuel.”
Tesco, however, has said that they have no immediate plans to lower their prices, despite the fact that the supermarket giant’s chief executive, Philip Clarke, has already admitted that petrol costs were too high, saying that “The great hope would be that fuel prices are going to come down”.
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