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| Morrisons cuts petrol price to below £1 a litre | |
| (about 5 hours later) | |
| Morrisons has cut the price of petrol to below £1 a litre, the lowest UK price level, excluding special promotions, since 2009. | |
| The supermarket chain will be selling petrol at no more than 99.9p per litre and cutting diesel by 1p a litre. | |
| The price of crude oil continues to fall, with Brent now below $40 (£26.38) a barrel - close to a seven-year low. | The price of crude oil continues to fall, with Brent now below $40 (£26.38) a barrel - close to a seven-year low. |
| Other supermarkets are expected to follow Morrisons. Asda is running a weekend 99.7p promotion on petrol. | |
| From Friday until Sunday only, drivers at Asda will pay that price for petrol and 103.7p a litre for diesel. | |
| Morrisons' petrol retail director Bryan Burger said: "Today, for the first time in more than six years, we are moving unleaded prices down to below £1 a litre. | Morrisons' petrol retail director Bryan Burger said: "Today, for the first time in more than six years, we are moving unleaded prices down to below £1 a litre. |
| "This is a moment where motorists will feel some relief after being clobbered by tax and price rises for the last decade." | "This is a moment where motorists will feel some relief after being clobbered by tax and price rises for the last decade." |
| The company said it would hold the price "for as long as possible" but that it remained subject to changes in the oil and currency markets. | The company said it would hold the price "for as long as possible" but that it remained subject to changes in the oil and currency markets. |
| Analysis | Analysis |
| BBC business correspondent Emma Simpson | BBC business correspondent Emma Simpson |
| When the price of Brent crude fell below $40 a barrel earlier this week, the RAC predicted that petrol and diesel prices would fall below a pound a litre at supermarkets before Christmas. | When the price of Brent crude fell below $40 a barrel earlier this week, the RAC predicted that petrol and diesel prices would fall below a pound a litre at supermarkets before Christmas. |
| Morrisons new price is just a whisker under that mark, but symbolic nevertheless. | Morrisons new price is just a whisker under that mark, but symbolic nevertheless. |
| It's a pre-emptive strike against its main rivals to drive footfall in the all-important Christmas trading season, and to bolster its battle to win back customers from the discounters. | It's a pre-emptive strike against its main rivals to drive footfall in the all-important Christmas trading season, and to bolster its battle to win back customers from the discounters. |
| The other big three supermarkets will likely follow suit, but it may still be some time before the average price of unleaded petrol reaches the £1-a-litre mark. | The other big three supermarkets will likely follow suit, but it may still be some time before the average price of unleaded petrol reaches the £1-a-litre mark. |
| On Wednesday, automotive group the RAC said supermarkets should do the right thing" and pass on savings from falling oil prices. | On Wednesday, automotive group the RAC said supermarkets should do the right thing" and pass on savings from falling oil prices. |
| There should be at least a 3p-a-litre drop for petrol prices and 5p for diesel, taking the average price to 103p and 104p respectively, it said. | There should be at least a 3p-a-litre drop for petrol prices and 5p for diesel, taking the average price to 103p and 104p respectively, it said. |
| However, experts have warned that the falling oil prices are turning into "the nightmare before Christmas" for the industry. | However, experts have warned that the falling oil prices are turning into "the nightmare before Christmas" for the industry. |
| KPMG says the expectation that the price will be "lower for longer" is stretching into 2016, and making companies less willing or able to operate high-cost fields. | KPMG says the expectation that the price will be "lower for longer" is stretching into 2016, and making companies less willing or able to operate high-cost fields. |
| Some companies are running out of options other than shutting down oil fields earlier than planned, or being sold at low valuations, head of oil and gas Mark Andrews said. | Some companies are running out of options other than shutting down oil fields earlier than planned, or being sold at low valuations, head of oil and gas Mark Andrews said. |
| Fuel price calculator: How much do you pay? |