Effective today, Friday 13th December, Asda has cut 2p a litre from petrol prices and 1p a litre from diesel costs at its 322 petrol stations.
That means drivers will pay no more than 117.7p a lite for unleaded or 122.7p a litre for diesel.
Asda senior fuel buyer Dave Tyrer said: "We know how important saving money is for our customers at this time of year, so we will always aim to keep the cost of essentials down whether that’s on fuel, food or fashion.
"Over the last two weeks we’ve brought fuel prices down by up to 4p a litre without any vouchering requirements meaning all our customers, regardless of their budget, will benefit from a price cut at the pumps.”
Sainsbury’s rushed to join them, announcing it would also cut unleaded petrol prices by 2p a litre and diesel by 1p a litre across its 315 forecourts from Sunday.
Sainsbury’s fuel buying manager David Pegg said: “We are committed to helping our customers live well for less this Christmas."
He added: "In addition to this, customers can also save 10p per litre on fuel when they spend £60 or more on groceries at a Sainsbury’s supermarket or online until Friday 20th December (exclusions and terms and conditions apply).
"Whether in store or at the pumps, customers know they will get fantastic value with Sainsbury’s this festive season”.
But the move to use vouchers has drawn criticism in recent weeks.
The AA pointed out that vouchers can discriminate against some customers, with a a poll of 18,000 AA members showing 58% thought money-off vouchers are an “underhand way” of getting shoppers to spend more money.
AA fuel expert Luke Bosdet said "It has to be accepted that a large number of shoppers with cars welcome these vouchers. And, with one in 10 tempted to buy more to qualify, they are a powerful marketing tool.
"However, they discriminate against lower-spending and less well-off consumers.
"They also delay price competition at the pumps and reinforce drivers' suspicions that they are being played – to the extent that 73% want some form of price regulation."
