Asda reignites petrol price war

The fuel price war has been reignited by supermarket giant Asda announcing it has slashed its petrol prices to 90.9p per litre.

The cut, which is Asda`s 10th in four months, brings prices to the lowest level seen since April 2007. Asda also announced a reduction in the price of diesel to 105.9p per litre.

Other supermarkets will now be under pressure to cut their fuel charges, as the price of crude oil continues to fall. The price of a barrel has dropped dramatically from almost $150 (£100) in early July to currently stand at around $50 (£33).

Asda trading director Darren Blackhurst said: "With oil prices still falling, there is no need for petrol prices to be so high - it is simply ripping off motorists."

The news comes it was revealed that the price of petrol has fallen by a record amount over the past month.

Average prices in the UK dropped from 106.4p a litre in mid-October to 94.86p a litre one month later. Compared with mid-July, when petrol prices peaked at 119.7p a litre, a tank of petrol now costs £12.42 less.

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