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Petrol prices "collapse" by 6.5p in a month

22/10/2008

The price of petrol has fallen by more than 5.7% in the past month, according to a report by the AA.

In its monthly Fuel Price Report, the motoring organisation records a drop in the average forecourt price of petrol from almost 112.9p a litre in mid-September, down to 106.4p in mid-October. In the same period, diesel fell from an average just under 124.3p to less than 117.7p.

The AA describes the 6.5p drop in petrol prices as a "collapse", and stresses that its figures pre-date the most recent cuts by supermarkets. On Monday, Morrisons, Asda and Tesco all lowered the price of a litre of unleaded petrol to 97.9p.

Three months on from 17 July - when petrol prices reached a record high of 119.7p per litre and diesel more than 133.2p - the AA reports that the UK average price for petrol now stands at 102.2p per litre, with diesel at 114.1p.

"The ongoing supermarket price war leaves prices across the UK in a very fluid state," said AA president Edmund King.

"Drivers hope supermarkets will continue to challenge hard at the pumps," he added.

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