Supermarket giant Morrisons today joined the Christmas petrol price war by cutting the price of unleaded fuel to just 99.9p per litre.
Its rival Asda announced yesterday that it is cutting the price of unleaded to 99.9p for the next three days.
Today, Morrisons went one better, by reducing the price of its fuel indefinitely, depending on the price of a barrel of oil.
From this morning (Friday 11th December) motorists filling up with unleaded at a Morrisons petrol station will pay no more than 99.9p per litre.
Itis the first time any retailer has brought its everyday price down to below the £1 mark since June 2009.
Morrisons is also cutting 1p off a litre of its diesel from tomorrow morning.
Earlier this week the RAC, predicted that prices would move below £1-a-litre before the Christmas getaway.
With the oil price tumbling, Morrisons is making the cut a fortnight earlier than expected.
Bryan Burger, Morrisons petrol retail director, said: “Today, for the first time in more than six years, we are moving unleaded prices down to below £1-a-litre.
"This is a moment where motorists will feel some relief after being clobbered by tax and price rises for the last decade.
"From the petrol price peak four years ago, the average car driver will have saved £17-a-week, which they can now spend on more enjoyable things than filling up their car.”
RAC Fuel Watch spokesman Simon Williams said: “This is just the news motorists were expecting to hear after we reported this week that wholesale fuel prices were coming down again as the price of a barrel of oil fell below $40.
"Morrisons has delivered this festive saving at their pumps even sooner than we thought, and no doubt their forecourts are now going to be very busy with motorists filling up with petrol at an everyday price of under £1 a litre.”
Morrisons will hold the price at this new everyday price for as long as possible, but it remains subject to changes in oil markets and foreign exchange movements.