Asda has announced that it’s cutting fuel prices again as questions are raised over whether the other major UK supermarkets will follow suit.

Asda has now cut fuel prices seven times since 26 October

Asda’s price cut is effective from Tuesday 8 January and will lop off up to 1ppl off unleaded and 2ppl off diesel, following continued decreases in the wholesale cost. It’s the seventh fuel price drop Asda has delivered to motorists since 26 October and means drivers will pay no more than 113.7ppl on unleaded and 123.7ppl on diesel under its fuel pricing cap.

Although announcements of similar pricing cuts would normally be expected from the three other biggest supermarkets, the RAC spoke out last week to say that they appear to no longer be competing so closely, which has had a ripple effect on average fuel prices as a whole.

Commenting on the latest Asda announcement, RAC fuel spokesperson Simon Williams said: “This cut is very welcome news, but the big question is whether the other supermarkets will respond and drop their prices sufficiently at all of their sites. Drivers badly need the supermarkets to start competing on price again as the so-called price war has been ‘cold’ since the middle of October. If this doesn’t happen then today’s Asda cut will not lower the average price of petrol and diesel across the country by as much as it should. This will mean drivers who are not near a low-cost fuel retailer will continue to pay over the odds. The price of petrol at the other supermarkets is currently about 3p more expensive than Asda compared to the normal gap of just over a penny so there is some catching up to do.”