Sainsbury's has retaliated in the supermarket fuel wars by slashing 2p off both petrol and diesel.
The price reduction follows Morrisons' earlier move to cut fuel prices for the third time in three weeks.
In a bid to lure shoppers away from rivals, Morrisons has reduced diesel prices by 10p and petrol by 8p this month - and its competitors have reacted quickly.
A Sainsbury's spokesperson confirmed;
'We continue to review prices daily and we will be reducing petrol and diesel by up to 2p from tomorrow [12 August 2008] to ensure we provide customers with the best possible value for their fuel on a local basis.'
The price drop means cheaper fuel bills for cash-strapped drivers, with owners of the popular 2.0-litre Ford Mondeo Zetec set to save almost £30 a year as a result.
Find out how to save money at your local supermarket.
