Supermarkets gift drivers fuel price cut

Supermarkets gift drivers fuel price cut

The four major supermarkets have provided some New Year cheer for motorists by cutting their fuel prices.

Asda, Morrisons, Sainsbury's and Tesco are all knocking 2p a litre off their petrol and diesel, with the reductions taking effect from New Year's Day.

The Asda cuts - the first to be announced - mean its customers will pay no more than 107.7p a litre for petrol, with diesel at 114.7p a litre.

With world oil prices plunging, this is Asda's 13th cut since the end of September, taking, in total, 19p a litre off petrol and 15p a litre off diesel. For Morrisons, it is the sixth cut since December 1.

The new year pricing move is not Asda's first - the supermarket has made 13 cuts to fuel prices since late September as global oil prices have taken a dive. That means it's cut 15p off a litre of diesel in total and 19p-a-litre off petrol.

RAC head of external affairs Pete Williams said: "This further reduction to the cost of fuel will certainly bring extra cheer for motorists for the new year. With record lows in the price of a barrel of crude oil it is encouraging to see retailers such as Asda passing on those savings to their customers, and we'd expect others to follow that example.

"This latest cut is also another step towards the very real prospect of a £1-per-litre average price in January, as predicted by the RAC in December, which really would guarantee a happy new year for millions of motorists in 2015."

Copyright Press Association 2014