Asda has taken the initiative to publish local fuel prices online at its forecourts, making it the first retailer to offer this service in response to pressure from the competition watchdog and MPs who are concerned about the increased profit margins in the fuel industry. The Competition and Markets Authority (CMA) has urged the government to implement legislation that would require fuel retailers to provide up-to-date pricing for a comprehensive industry-wide comparison service.
The CMA’s call for action came after their investigation revealed that Asda had tripled its margins since before the pandemic, and other retailers in the sector had raised the prices of diesel and petrol to unjustifiably high levels. To address this issue, a voluntary scheme is expected to launch later this month, where all fuel retailers will disclose their daily prices to comparison apps. The CMA envisions a future compulsory regime with live pricing data that would enable drivers to easily compare and find the best deals.
Asda’s newly launched service displays local fuel prices, updated daily, on the homepage of each store along with other relevant information. However, it currently lacks the functionality to compare prices at nearby stores or with rival retailers. Notably, Asda had previously introduced an online service in 2017 that published local prices at its forecourts but discontinued it later. There are existing price comparison services like Go Compare and Petrolprices.com, but the timeliness of the information they provide remains uncertain.
Sainsbury’s and Morrisons have expressed their willingness to collaborate with the government to implement price-comparison schemes, while Tesco is actively engaged in discussions with the CMA regarding its price checker scheme. The CMA also suggests the establishment of a government-backed organization to monitor fuel prices. Their recent study highlighted a significant increase in average annual supermarket fuel margins from 2019 to 2022, resulting in an additional cost of £900 million for consumers.
Rising fuel prices have become a focal point for concerns about the overall cost of living, given the high levels of inflation affecting essential commodities like food and energy. In July, the energy secretary, Grant Shapps, criticized some fuel retailers for profiting at the expense of motorists by not promptly lowering prices when the wholesale fuel prices dropped.
Asda has described its new scheme as the initial step towards implementing a system that will eventually provide real-time pricing, which is expected to be available in the coming months. The company emphasized its ongoing collaboration with the government in developing an industry-wide fuel finder scheme.
According to an Asda spokesperson, by sharing fuel prices online, customers will have the opportunity to identify the best value before heading to the pumps, enhancing their overall experience and saving money.
Denial of responsibility! VigourTimes is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
