Asda and Sainsbury's cut fuel prices

Asda and Sainsbury's say they will cut the price of fuel at their petrol stations from Tuesday.

Asda is cutting the price of its diesel and petrol by 2p a litre. It says a litre of unleaded will cost no more than 127.7p, while diesel will cost no more than 132.7p.

It says it has cut fuel prices by 14p a litre since April.

Sainsbury's announced on Twitter that it will cut its fuel prices 'by up to 2p a litre' from tomorrow.

According to the AA, the average price of a litre of unleaded across the country is 133.8p, while a litre of diesel costs 139.3p on average.

However, fuel prices are soon set to rise, with a planned 3p per litre increase in fuel duty expected on August 1.

Iain Reid