Supermarket fuel price war looms

Fuel price war looms with supermarket price cuts

Three supermarkets are planning to cut the cost of fuel by tomorrow in a welcome boost for motorists planning their summer holidays.

Britain's biggest fuel retailer Tesco will cut the cost of diesel by 2p per litre and unleaded petrol by 1p at all of its 500 filling stations.

Sainsbury's and Asda will follow suit with identical price cuts on Saturday.

Asda has said motorists will pay no more than 108.7p per litre of diesel and 111.7p on unleaded petrol at its pumps as part of its price cap.

Further price cuts could be on the cards given that oil recently dipped below 50 dollars a barrel.

RAC fuel spokesman Simon Williams suggested motorists might even see a return of £1-a-litre diesel.

"July was a bumper month for diesel vehicle drivers with the average price falling by 5p a litre, saving £3 on a fill-up," he said.

"Now August is off to a flying start with another substantial cut which will help shave another couple of pounds off a tank of diesel, just as millions of people head off on holiday by car.

"With oil prices just under the 50 dollars a barrel mark, there's every chance even more cuts are just around the corner. And, if oil stays low and wholesale diesel remains abundant, we could even have a chance of seeing £1 a litre diesel."

The most economical cars to run
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Supermarket fuel price war looms

Official mpg: 57.6mpg
True mpg: 45.4mpg

The third generation Seat Leon is the most economical car to run according to the WhatCar? True mpg test.

It's been a good year for the Spanish manufacturer as the Leon also won the Auto Express New Car Award 2013 after years of missing out to sister brands Volkswagon and Skoda.

The 1.2 TSI 105 has the smallest engine of the top six cars in the WhatCar? lineup, so unsurprisingly is the most efficient of the group.

As well as being efficient it's a great family car. You get plenty of cabin space and an impressive boot size of 380 litres - 65 litres more than in a Ford Focus!

The cheapest in the range is the 1.2 S-trim, but even as a starter model you get a decent standard of equipment with things like air-conditioning, Bluetooth, 5" colour multimedia screen and tyre-pressure monitoring included.

You can buy a new Seat Leon 1.2 TSI 105 S 5-door from £15,850.

Official mpg: 55.4mpg
True mpg: 42.8mpg

The stylish Mazda 3 is second on the list of the most economical family cars to run. And like the Seat you can get a starter model relatively cheaply, but with a generous helping of the best mod cons.

The entry-level SE models come with alloy wheels, Bluetooth and air-conditioning as standard. Plus, in terms of size, the 3 is almost on par with the Seat Leon.

WhatCar? says it's a fun car to drive and although it misses out on the top spot for fuel economy, it's not far off so worth a look.

The 2.0 Skyactiv-G 120 5-door is available from £16,995.

Official mpg: 54.3mpg
True mpg: 42.5mpg

The Audi A3 was named Car of the Year 2013 by WhatCar?, but only manages third place on its list of the most economical family cars to run.

It's not the cheapest motor, but the A3 offers plenty of space with a boot size of 380 litres on the Sportback. That's perfect for a family with a lot of gear to transport.

WhatCar? says it should definitely make the shortlist if you are looking for a decent sized hatchback.

The Audi A3 Sportback 1.4 TFSI 122 5-door can be purchased from £20,200

Official mpg: 52.3mpg
True mpg: 42.1mpg

The Kia Ceed provides an exceptional amount of space (1,318 litres with the seats down) and comfortably transports five adults.

Its large 1.6 engine can almost match the economy of rivals, but WhatCar? says the petrol version of this car is a disappointment compared to the diesel in terms of driver enjoyment.

The Kia Ceed is available in four trim levels. Top level Ceed '4' gets you parallel park assist system (PPAS) which automatically parks your car! But your basic trim '2' isn't exactly rubbish with reverse parking sensors included.

The Kia Ceed '2' 1.6 GDi 133 5-door is available from £16,195 and comes with the Kia seven-year warranty.

Official mpg: 51.4mpg
True mpg: 41.5mpg

The new A-Class looks pretty great with its sharp exterior and smart cabin, and the A180 has attracted high praise from the likes of Top Gear magazine who claim it's enough to rival the BMW1-Series and the Audi A3.

But WhatCar? says that even though safety and equipment levels are up there with the best (you get alloy wheels, Bluetooth and air-conditioning as standard with every model) it's a disappointment to drive.

If you want to be the judge, the A180 is the cheapest Benz you can buy. You can get the A180 BlueEfficiency 122 five-door from £20,370.

Official mpg: 53.3mpg
True mpg: 40.6mpg

Last but not least is the Skoda Octavia.

It's not the most stylish motor of the lineup but WhatCar? reports that the petrol engines are smooth and quiet, while the cabin is a comfortable and spacious place to sit - six-foot adults can sit comfoirtably behind similar-sized adults at the front with leg-room to spare!

If you fancy it the 1.4 TSI 140 is available from £18,390.


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