Asda has responded to accusations of profiteering by the RAC by cutting the price of unleaded by 5ppl and diesel by 3ppl to ”help motorists save money when filling up their tanks”.

It said drivers will pay on average 174ppl for unleaded and 185ppl for diesel when filling up at Asda’s 323 petrol stations across the UK. The latest price reduction follows a cut of 4ppl earlier in the week, claiming it had reduced fuel prices by 9ppl on unleaded and 7ppl on diesel since the start of the week.

Just days before, RAC accused the major supermarket groups of profiteering despite cutting fuel prices from their recent record levels.

RAC fuel spokesman Simon Williams said the UK’s biggest fuel retailers weren’t cutting their prices at the scale they should be given the wholesale prices of both fuels – what retailers pay themselves – had dropped so much. He described it as one of the ”worst examples we’ve seen of pump prices falling by a feather despite the wholesale market plunging”.

AA fuel price spokesman Luke Bosdet commented on Asda’s fuel price cut, saying: “Asda’s price move is impressive, in effect cutting 10ppl off the UK average price of petrol. That’s potentially a fiver off a tank for those filling up this weekend, compared to the artificially-high prices on too many major retailer forecourts and in too many towns.

“First, it was a few dozen small independent forecourts showing up the big boys. Now, Asda has called them out with on average a fiver off the cost of a tank of petrol.”