The good news for motorists continues; fuel prices are set to drop by a further 2p per litre, leaving the £1 litre of petrol a distinct possibility in the coming weeks. Some of the UK’s biggest supermarkets – Sainsbury’s, Asda and Morrisons – have followed Tesco’s lead in slashing prices at the pumps by 2p per litre.
Following the latest round of price cuts, petrol can now be bought for well under 110p per litre on a number of forecourts while Asda has vowed that its customers will pay no more than 105.6p per litre for its petrol. Motorists have rarely benefitted from such sustained price drops; Asda has slashed its prices no fewer than 14 times since late September while Sainsbury’s and Morrisons have cut costs for drivers seven times since the start of December.
We would love to see £1 per litre and we may possibly see it in many parts of the UK but it is unlikely that the average price will drop as quickly to the £1 level.
Increased global production has seen pump prices plummet over the past months and the RAC has predicted that the average price for a litre of unleaded could soon fall below £1. Despite substantially cheaper fuel prices, the AA has pointed out that those in rural areas fail to see the full benefit. President of the AA Edmund King said: “Small rural towns are again being left behind by the price falls in the more competitive areas.
“We would love to see £1 per litre and we may possibly see it in many parts of the UK but it is unlikely that the average price will drop as quickly to the £1 level – partly because 70 per cent of the price is tax.”