Press Centre

FALLING COSTS ALLOW ASDA TO KNOCK UP TO FOUR PENCE OFF A LITRE OF FUEL

ASDA today (16 August 2006) said that it would be reducing fuel in all of its 167 petrol stations to the same low prices, with unleaded moving to 93.9 pence per litre and diesel to 95.9 pence per litre.

Recent falls in the price of both crude oil and refined products have enabled ASDA to pass on cost savings to its customers. 

To ensure that all customers benefit from the lower costs, ASDA has reduced prices at all its forecourts to the same level, irrespective of where customers live and the prices set by local competitors.

From Wednesday morning, at all 167 ASDA petrol stations across the UK and Northern Ireland, motorists will be able to fill up for up to four pence per litre less, at the same low prices of 93.9 pence per litre for unleaded and 95.9 pence per litre for diesel.

On top of this price reduction, all ASDA credit and store cardholders are also immediately entitled to a further two pence per litre of fuel discount when paying with their card[i].

With recent predictions that £1 per litre of petrol seemed inevitable, ASDA is continuing to be the customer champion by offering fuel from as little as 91.9 pence per litre[ii].

ASDA's move to maintain low fuel prices differs from other forecourt operators where high prices persist and the benefit of cost reductions are not handed back to customers.

“Again, we are the first retailer to pass on fuel cost savings to our customers, and again, we have taken the opportunity to move to a national price so that the same low prices are available to all our customers”, said ASDA Trading Director, Andy Brem.

“While the oil market remains volatile, the end of the US motoring season has reduced demand which has in turn led to lower market costs.  While these may prove to be short term, we have an obligation to pass on cost savings to our customers whenever they occur. 

"Our advice, as always, is to check the price at the pump – this reduction proves it pays to shop around.” 

Posted in Press Centre on 15 August 2006