Asda has announced its first fuel price cut of the new year.

Effective from today, drivers filling up at any of Asda’s 322 petrol stations will benefit from a price cut by up to three pence per litre across both unleaded and diesel.

Asda senior fuel buyer, Dave Tyrer said: "We’re pleased to be dropping fuel prices for the first time this year.  January has been a tough month for motorists so we’re glad to be dropping the cost in line with falling wholesale markets." 

Asda has stores in Penryn and Hayle amongst other Cornish outlets and drivers will pay no more than 120.7pence per litre on unleaded and 124.7ppl on diesel.

AA's fuel price spokesman Luke Bosdet added: “Average UK petrol and diesel pump prices have been at their highest for a January since 2014 and, despite wholesale costs declining over the past two to three weeks, they have stayed stubbornly above 128p a litre for petrol and 132.5p for diesel.

“This new price cut is in line with wholesale petrol falling from an average of 39.4p a litre in early January to the 37.0p between Wednesday and Friday last week. Sadly, only communities with an Asda fuel presence are likely to enjoy £1.50 being slashed off the cost of a tank of fuel overnight."

Sainsbury’s has also announced it is cutting the price of unleaded petrol and diesel by up to three pence per litre across all of its 315 forecourts from Friday, providing great value for millions of motorists across the UK.

As usual, customers will also be able to collect Nectar points every time they fill up - one point on every litre purchased.

David Pegg, fuel buying manager for Sainsbury’s, said: “As we head into the start of February we are committed to helping our customers live well for less, which is why we’re dropping the price of both unleaded petrol and diesel by up to 3 pence per litre across every single one of our forecourts from Friday.

"Whether in store or at the pumps, customers know they will get fantastic value with Sainsbury’s”.