petrol pumps
Asda cuts petrol price by a further 2pReuters

Asda has cut another 2p off its fuel price, sparking a potential price war between the UK's big supermarkets.

The move will see petrol priced at 105.7p per litre at Asda pumps from Tuesday 6 January.

Three of the UK's major supermarkets slashed petrol prices by 2p per litre on New Year's Day, following a period of reductions since the autumn.

The reduced price is a result of a lowering in the wholesale price of petrol, which has been driven down by the falling price of crude oil since the summer.

Brent crude prices have plummeted by around half since the summer of 2014 and are currently trading around $55 a barrel.