Drivers face north-south divide on fuel prices

The average price of a litre of petrol has fallen from an all-time high of 121.6p in mid-May to 118.08p now, the report said.

Taking all fuel-selling outlets into account, the cheapest petrol at the moment can be found in Yorkshire (116.8p a litre), with the dearest in London (119.3p).

Yorkshire also has the cheapest diesel (119.5p a litre), with Northern Ireland having the most expensive (121.3p).

But large areas of south-east England and the rural Midlands have supermarket petrol currently priced at 119.9p.

In some other areas, supermarket petrol is as cheap as 114.32p a litre, while in some areas there can be large disparity in prices in neighbouring towns, the AA said.

AA president Edmund King said: "Wholesale petrol prices tumbled from around 40p a litre in early May to around 36p by May 24.

"Although Asda and Morrison largely passed on the entire saving, other supermarkets have been much more selective as to which customers are enjoying the full respite from record high prices."

He went on: "Unfortunately, with oil prices back above 75 dollars a barrel, we are expecting wholesale prices to rise again – which only makes the failure to pass on cost cuts all the more galling.

"Drivers are right to ask how a small rural petrol station between the Surrey town of Farnham and the M3 can sell petrol at 115.9p a litre, and stay in business, while a major supermarket in the town centre, with all its buying power, charged 119.9p."