Asda earlier this week announced that it is cutting the price of petrol at its 170 petrol stations across the UK.
The supermarket giant dropped the price of a litre of unleaded by a penny to 105.9p and of diesel by 2p to 116.9p.
There are now hopes that other retailers will follow suit, sparking a petrol price war that could make many motorists’ trips to the petrol station a lot cheaper.
Morrisons has already responded by dropping the price of a litre of unleaded to 106.6p.
Darren Blackhurst, Asda’s trading director, said: "We review our fuel prices daily and are committed to passing back the benefits of lower cost prices to all our customers with our national price.
"We urge our rivals not to take advantage of drivers who don’t live close to an Asda petrol station and to pass on cost benefits fairly to all their customers."
A price war broke out in September involving Morrisons, Shell and Esso.
Oil fell to its lowest level in eight months today (October 9th), raising the prospect of further drops in petrol prices in the weeks ahead.
Written by Suzy Keys