ASDA slashes price of unleaded as new supermarket price wars ERUPT



ASDA is slashing the price of its unleaded petrol by 2p per litre sparking a huge supermarket price war.

The food giant is set to drop fuel to £1.14 per litre in a move mirrored by Sainsbury's and Morrisons, who are also dropping fuel by 2p per litre.

The move will come into affect from tomorrow although diesel fuel will remain the same.

RAC fuel spokesman Simon Williams said: "A day after we called for a price cut it's encouraging to see the supermarkets have responded by taking 2p off a litre of unleaded.

"Despite a similar cut in late September the conditions have been right for a further reduction for nearly two weeks so it's a shame in the interests of price transparency this hasn't come sooner.

"What motorists need now is for every petrol retailer, large and small, to do the same to bring down the average price from £1.19 a litre to £1.17.

"Looking at the wholesale petrol market there are good signs that prices could go lower still."

Petrol and diesel have risen by 2.5p a litre since the end of June.

Daily Star Online previously revealed how the average price of a used diesel car is going up despite a new "toxin tax" that will ban them from 2040.

New figures show used models selling up to 6% more than 12 months ago, according to research conducted by Auto Trader.