Supermarkets petrol price war: how much could you save?
Supermarkets have slashed 2p from the price of a litre of fuel, suggesting that a new price war could be
about to erupt across British forecourts. In a year when we have been seeing escalating prices in most areas, this spells a rare piece of good news for the nation's motorists.
The move comes following a drop-in wholesale prices, and has been greeted with an attitude of “about time”
by motoring groups, who have long accused fuel retailers of being slow to pass savings like these on to consumers.
The trend was kicked off by Asda, which dropped its price per litre to 111.7p on 15 June. This was quickly
replicated by rival supermarkets Tesco, Sainsbury's and Morrison’s, who had brought their own prices in line with Asda's within 24 hours.
How low will they go?
The price of oil has plummeted over the past month – in late May it stood at more than £41 per barrel, while today it is down to a seven-month low of less than £35. This represents a fall of around 15 percent in the space of a month, and as a result, the RAC is predicting that petrol prices could fall by a further 2p per litre and diesel by 4p. If oil prices continue to fall, however, this could be just the tip of the iceberg.
Where the supermarkets have led, it is expected that other fuel retailers will follow, leading to a holesale drop in prices across the country. Some rural filling stations are still charging a remarkable 120p per litre at the pumps – while a difference of a penny or two can be understandable, consumers will not be prepared to pay an additional 9p per litre, which equates to a difference of around £5.00 to fill up the average family car.