Tesco has said it will drop its diesel prices even further, committing to lowering the price of the fuel to 97.7p at all of its 500 filling stations from midday today.
The supermarket was one of many to bring the price of diesel below £1 at the start of the year, alongside Sainsbury's, Asda and Morrisons, as a result of the falling price of oil. That was already the lowest prices had been since 2009.
Tesco said it was lowering prices further today "in time for the weekend".
Peter Cattell, fuel director for Tesco said: “We know our customers really value low fuel prices and having diesel for 97.7p a litre will give our customers a big helping hand. This reduction will mean millions of customers save money by shopping at Tesco.”
Tesco said it would continue to review the price of diesel subject to changes in oil markets and foreign exchange movements.
It comes as the retailer attempts to regain ground lost during the price wars throughout the sector.
Tesco has been showing signs of a turnaround in recent weeks, with better-than-expected Christmas results helping to lift the company's share price - although it is still down more than 30 per cent over the last 12 months.