Petrol price war intensifies as Asda drops forecourt prices to lowest since January

Supermarket chain Asda dropped its unleaded petrol prices to their lowest level since January today - a move likely to be copied by its rivals.

Asda's reductions put its unleaded at a flat rate of 87.9p per litre. The chain's diesel is down to 92.9p per litre.

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They are the latest in a series of fuel price cuts at Britain's biggest supermarkets in response to lower crude oil costs.

Asda's new pump prices take effect at all 167 of its petrol stations across Great Britain and Northern Ireland from today.

Asda trading director Andy Brem said: "We have seen significant falls in petrol costs as surplus gasoline drives market prices down.

"Once again we have taken the opportunity to pass on these savings to all our customers by moving to the same price nationwide."

The last wave of supermarket petrol price cuts was three weeks ago.

At that point, Asda dropped its unleaded petrol to 91.9p per litre and its diesel to 93.9p per litre.

The chain has since made a series of small reductions to the price of unleaded, which today drops by a further 2p per litre.