Diesel price falls below that of petrol
The RAC Foundation has wlcomed news that two supermarkets are cutting the price of diesel but has said it should have happened sooner.
Both Asda and Tesco said they were reducing the forecourt cost of diesel down to 97.7p per litre. This is about 2p per litre cheaper than petrol.
The move comes against a background of sustained oil price falls. Steve Gooding, director of the RAC Foundation, said:
“This is a welcome move but do not mistake it for a charitable act. The wholesale price of diesel has been below that of petrol since early December so it is right that the benefits retailers have enjoyed in reduced costs are finally passed on to motorists.
“It is understandable that supermarkets lead the way. They say fuel is not a loss leader but their main business is selling food and they hope that by being competitive on forecourt prices more people will enter their stores.
“It is also worth remembering that by far the biggest proportion of the pump price is tax. Some 75% of what we pay on the forecourts goes to the chancellor.”
Philip Gomm – Head of External Communications – RAC Foundation
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Notes to editors:
The RAC Foundation is a transport policy and research organisation that explores the economic, mobility, safety and environmental issues relating to roads and their users.
The Foundation publishes independent and authoritative research with which it promotes informed debate and advocates policy in the interest of the responsible motorist. All the Foundation’s work is available at: www.racfoundation.org