Asda has reduced the price of unleaded petrol by up to 3p a litre and diesel by up to 2p, after sustained criticism that retailers were failing to pass on falling wholesale costs. The supermarket's national price cap means drivers will pay no more than £1.25 for unleaded and £1.28 for diesel at its 318 filling stations.
The move follows a period of almost daily increases in fuel prices since late April, despite wholesale costs dropping by around 2.5p a litre since 24 May. The RAC attributed the recent wholesale declines to increased US oil drilling, higher Russian output, and speculation that Opec would end its production restrictions.
On Monday, the average UK forecourt price stood at £1.29 for unleaded and £1.33 for diesel — the highest levels since September 2014. Asda's chief executive, Roger Burnley, said: 'We know that the cost of living is centre of mind for our customers and we will always do whatever we can to reduce that burden.'
RAC spokesman Rod Dennis welcomed the cuts, saying: 'At last retailers have done the right thing and started to cut prices at the pumps. From our data, we could see no justification for them holding on to savings that they have been benefiting from for three weeks.' He added that with petrol prices rising at their fastest rate in 18 years, today's cuts should bring welcome relief to millions of households and businesses.
