Asda and Morrisons cut fuel prices by 2%

TWO supermarkets are cutting fuel prices amid a reduction in wholesale costs.

Asda and Morrisons are both reducing the price of fuel and diesel by “up to two pence per litre” from today.

Motorists will pay no more than 114.7ppl for unleaded and 116.7ppl for diesel at Asda’s 301 filling stations.

The company’s head of petrol trading, Dave Tyrer, said: “Today’s latest move shows that Asda is once again leading the way in reducing the price at the pumps to help the millions of motorists across the UK.

“Our new national price cap of 114.7ppl on unleaded and 116.7ppl on diesel will be welcomed by the millions of drivers.”

Morrisons’ services director, Roger Fogg, said: “We will always aim to drop prices as soon as we can and always keep them far below the UK average.”

The cost of petrol heading to forecourts has fallen on average by 1.7ppl in the past four weeks, according to the AA. Last week, wholesale petrol averaged 33.8ppl, compared with 35.5ppl in mid-February. Average diesel wholesale prices have hit a plateau of about 35.5ppl over the past month.

Latest Government figures show the average price of petrol in the UK is 120ppl, while diesel is 122.9ppl. Fuel prices in recent weeks have been higher than at any point since December 2014.

The rise has been partly driven by the lower value of the pound against the dollar following the Brexit vote.

RAC fuel spokesman Simon Williams said: “This is the perfect spring gift for motorists to go with longer days and warmer weather. No doubt other retailers will follow suit and we will see prices come down.

“While this cut may come as a surprise to drivers as prices at the pump have been going the wrong way for months, it has been on the cards for a couple of weeks.”