THE petrol price war intensified yesterday as supermarket chain Asda dropped prices to below 50p a litre for unleaded fuel.
At the same time, on another shopping war front, a supermarket in England has begun paying customers to take away baked beans in the first recorded case of ``negative pricing''.
Most Scottish motorists will miss out on Asda's petrol offer because the ``profit-free forecourts'' will operate only at hypermarkets and Asda has only two in Scotland - at Govan, Glasgow, and in Edinburgh.
Last night, other petrol companies accused Asda of jumping on the bandwagon months after they had reduced prices, and Asda denied it was cheating Scots.
A spokeswoman said: ``Most people are prepared to travel for up to half an hour and take advantage of all the deals offered in our hypermarkets as well as the petrol offers.''
Asda has 206 stores nationwide but only 118 of them sell petrol. Only its 10 hypermarkets are involved in the cut-price promotion.
Last night, Shell spokesman Andrew Vickers said: ``We have been offering cut-price petrol since last summer along with air miles offers and smart card points for customers.
``Asda are a bit behind the times and are now jumping on the bandwagon. Their prices might be cheaper than ours but it would appear they have a limited market. But it is something we will be watching.''
A spokesman for BP said: ``We try to keep our prices competitive at all times. We are not worried about Asda reducing prices because they are behind the rest of the field.''
Esso's retail marketing director, Mr Nigel Law, said: ``Asda's announcement is old news. Our advice to motorists is to check prices at the forecourt and they will find Esso's among the lowest.''
Meanwhile, Sanders Supermarket in the village of Lympsham, near Weston-super-Mare, is giving customers 2p for every Right Price can of baked beans taken away.
The store's joint managing director, Mr Chris Sanders, 41, said yesterday he thought it was the first in the country to take price-cutting to this level.
Customers are being restricted to one tin a day of what are believed to be Britain's cheapest baked beans.
``The reaction has been very positive - it is very easy to sell tins at minus 2p a tin,'' he said, adding: ``It is gaining us a lot of customers.
He joked: ``If customers buy only beans, we will quickly go out of business but if they do their whole shop it will be worth while and we will continue.''
The beans market is worth an estimated #250m a year, with three million cans sold every day.
Tesco and Kwik Save both said their lowest price for baked beans would stay at 3p a tin, where it fell at the height of the war in mid-April.
Why are you making commenting on The Herald only available to subscribers?
It should have been a safe space for informed debate, somewhere for readers to discuss issues around the biggest stories of the day, but all too often the below the line comments on most websites have become bogged down by off-topic discussions and abuse.
heraldscotland.com is tackling this problem by allowing only subscribers to comment.
We are doing this to improve the experience for our loyal readers and we believe it will reduce the ability of trolls and troublemakers, who occasionally find their way onto our site, to abuse our journalists and readers. We also hope it will help the comments section fulfil its promise as a part of Scotland's conversation with itself.
We are lucky at The Herald. We are read by an informed, educated readership who can add their knowledge and insights to our stories.
That is invaluable.
We are making the subscriber-only change to support our valued readers, who tell us they don't want the site cluttered up with irrelevant comments, untruths and abuse.
In the past, the journalist’s job was to collect and distribute information to the audience. Technology means that readers can shape a discussion. We look forward to hearing from you on heraldscotland.com
Comments & Moderation
Readers’ comments: You are personally liable for the content of any comments you upload to this website, so please act responsibly. We do not pre-moderate or monitor readers’ comments appearing on our websites, but we do post-moderate in response to complaints we receive or otherwise when a potential problem comes to our attention. You can make a complaint by using the ‘report this post’ link . We may then apply our discretion under the user terms to amend or delete comments.
Post moderation is undertaken full-time 9am-6pm on weekdays, and on a part-time basis outwith those hours.
Read the rules hereComments are closed on this article