Asda and Tesco cut petrol price by 2p a litre - Telegraph.co.uk

Sainsbury also said it would be cutting the price of petrol and diesel prices "in many of our stores" as of Saturday morning.

The price cuts come as the AA said prices at the pump hit a new high of 142.48p per litre this week, with diesel remaining near its peak of 147.88p per litre.

However wholesale prices have dropped to $1,133 a ton - a decrease of almost 7pc- in the last seven days. That has increased pressure on oil companies and retailers to bring down prices at the pump.

"If the wholesale petrol price holds or continues to crash, the UK pump prices should fall at least 4p in the next fortnight. With VAT that rises to 5p," the AA said.

The worst affected areas have been Northern Ireland, where the average price of petrol has hit 143.9p per litre, and Wales at 142.9p per litre. Yorkshire and Scotland are the cheapest places at around 142.2p per litre.