INFO -- Petrol price cut sparks pump war

Ian (GPX) · Brolly Dolly Joined: 05 Aug 2003 Karma :

https://news.bbc.co.uk/1/hi/business/4084353.stm << Text taken from here.

Morrisons has sparked a round of price-cutting among the UK's major petrol retailers in the run up to Christmas.
The supermarket chain said it was reducing the price of unleaded petrol by 3.5p to 79.9p per litre.

The 4% cut was quickly matched by rivals Asda, Sainsbury's and Tesco while Shell, Esso and BP said they would shave a few pence off prices.

The moves follow recent falls in the price of crude oil but analysts have warned that prices might rebound soon.

Using low petrol prices to get customers into stores is a tactic commonly used by supermarkets.

It is designed to increase footfall in stores in the lucrative pre-Christmas period.

The oil giants Shell, Esso and BP also responded, saying they would cut their forecourt prices by up to three pence a litre.

Passing it on

RAC spokesman Philip Hale said: "Running a car already costs over £400 per month and the high fuel prices have really strained drivers' wallets.

"This will come as a great relief as we head into the bumper festive travel period."

Morrisons has also cut diesel to 83.9p per litre, the new price reflecting the current difference in the cost of the two fuels.

"The cost of crude oil and refined product has fallen in the last few days," said Phil Maud, Morrisons' petrol filling stations director.

The chain said it was "passing on the saving quickly, for cheaper prices at the pumps ahead of Christmas".

"The combination of Morrisons and Safeway has resulted in a very strong, competitive force in the fuel retailing business," said Mr Maud.

A Tesco spokesperson said: "Our local pricing policy means we won't be beaten, in any location, on the price of petrol."

mattsmith95 · Traffic Copper Joined: 03 Oct 2004 Karma :

Then in the new year, all the prices go back up again, OR WILL THEY?

JonB · Afraid of Mileage Joined: 03 Jun 2004 Karma :

Good news for the consumer then! Thumbs Up

One problem I have is that our market town only has 2 petrol stations an Esso and a Tesco one. The Esso one is alwasy a penny higher then the Tesco one. But like the price is 82.9 at Tesco here where I live and 13 miles away in Taunton petrol at their Tesco is 79.9! I wish our stations had more competition.
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Be careful whose advice you buy, but, be patient with those who supply it. Advice is a form of nostalgia, dispensing it is a way of fishing the past from the disposal, wiping it off, painting over the ugly parts and recycling it for more than it?s worth.

m99dws · World Chat Champion Joined: 09 Jun 2004 Karma :

Good news for all motorists. It's always concerning when prices rise as oil goes up, but then rises as oil goes down. Thinking

JonB · Afraid of Mileage Joined: 03 Jun 2004 Karma :

The problem is the forecourts will put up the price of petrol as soon as the price of oil rises, it takes the forecourts about a week to lower them though. Rolling Eyes

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Be careful whose advice you buy, but, be patient with those who supply it. Advice is a form of nostalgia, dispensing it is a way of fishing the past from the disposal, wiping it off, painting over the ugly parts and recycling it for more than it?s worth.