Morrisons enters petrol price war

A supermarket price war is breaking out but at the petrol pumps rather than the shop tills.

From tomorrow, Morrisons will become the latest supermarket to wade into the battle with its offer to knock 6p off the price of a litre of unleaded or diesel fuel for any customers spending more than £40 in store.

The "Fuel Britannia" deal from Morrisons offers a bigger discount than similar offers from Sainsbury's and the Co-op. At present, Sainsbury's is offering to reduce the price of a fuel for customers by 3.5p and the Co-op 5p.

Fuel is the largest single contributor to increases in the cost of living for households, according to the Office for National Statistics. Inflation figures out last week reveal that fuel costs have risen by an average 15.9 per cent over the 12 months to March. "We know that over the Easter holidays and the royal wedding, motorists will want to travel further to visit friends and relatives, but will be put off by the cost of petrol," said Richard Lancaster, Morrisons marketing director. "Our offer ensures that our customers can enjoy this time and worry less about the cost."