Asda Reduces Fuel Prices Amid Declining Wholesale Costs
The supermarket chain has lowered petrol and diesel prices at all forecourts as wholesale costs decrease.
Asda has announced a reduction in fuel prices by 4 pence per litre, applicable to both petrol and diesel at all its forecourts and Asda Express locations.
This price cut follows a decrease in wholesale fuel costs, which has prompted the RAC to suggest that overall fuel prices in the UK should decline from their recent six-month highs.
The RAC has indicated that, if retailers fully pass on the savings they are experiencing when procuring new fuel stocks, petrol prices could decrease by at least 6 pence per litre, while diesel prices could drop by approximately 3 pence per litre.
With the recent adjustments, Asda's average fuel prices now stand at 132.0 pence per litre for petrol and 137.6 pence per litre for diesel.
In comparison, the national averages across the UK are 138.6 pence per litre for petrol and 145.8 pence per litre for diesel.
Allan Leighton, executive chairman of Asda, emphasized the company's commitment to providing value to customers, stating that the price cuts offer tangible savings for those filling their vehicles.
The price of oil has seen a notable decrease over recent months; it plummeted from above 80 US dollars per barrel in mid-January to below 70 US dollars per barrel, which has contributed to the decline in wholesale fuel prices.
Simon Williams, the head of policy at the RAC, praised Asda's proactive approach in reducing fuel prices and expressed hope that it may motivate other retailers to follow suit.
William also noted that oil trading at around the 70 US dollars mark raises optimism for petrol prices potentially reaching their lowest levels in the past four years.
Luke Bosdet, a spokesperson for the AA on fuel prices, highlighted that retail fuel prices have been overdue for a reduction, suggesting that retailers have been hesitant to lower prices amidst a competitive market.
Furthermore, a recent report from the Competition and Markets Authority indicates that UK drivers incurred an additional £900 million in fuel costs at supermarkets in 2022 due to increased profit margins, and £1.6 billion across all fuel retailers in 2023 from similar pricing practices.
This price cut follows a decrease in wholesale fuel costs, which has prompted the RAC to suggest that overall fuel prices in the UK should decline from their recent six-month highs.
The RAC has indicated that, if retailers fully pass on the savings they are experiencing when procuring new fuel stocks, petrol prices could decrease by at least 6 pence per litre, while diesel prices could drop by approximately 3 pence per litre.
With the recent adjustments, Asda's average fuel prices now stand at 132.0 pence per litre for petrol and 137.6 pence per litre for diesel.
In comparison, the national averages across the UK are 138.6 pence per litre for petrol and 145.8 pence per litre for diesel.
Allan Leighton, executive chairman of Asda, emphasized the company's commitment to providing value to customers, stating that the price cuts offer tangible savings for those filling their vehicles.
The price of oil has seen a notable decrease over recent months; it plummeted from above 80 US dollars per barrel in mid-January to below 70 US dollars per barrel, which has contributed to the decline in wholesale fuel prices.
Simon Williams, the head of policy at the RAC, praised Asda's proactive approach in reducing fuel prices and expressed hope that it may motivate other retailers to follow suit.
William also noted that oil trading at around the 70 US dollars mark raises optimism for petrol prices potentially reaching their lowest levels in the past four years.
Luke Bosdet, a spokesperson for the AA on fuel prices, highlighted that retail fuel prices have been overdue for a reduction, suggesting that retailers have been hesitant to lower prices amidst a competitive market.
Furthermore, a recent report from the Competition and Markets Authority indicates that UK drivers incurred an additional £900 million in fuel costs at supermarkets in 2022 due to increased profit margins, and £1.6 billion across all fuel retailers in 2023 from similar pricing practices.
