Diesel prices are continuing to drop, with the average price falling below 113 pence per litre for the first time in nearly five years.

Retailers have been passing on the drop in oil price, with supermarkets cutting prices by between 2p and 4p per litre and last month, diesel became cheaper than petrol for the first time since July 2001.

Petrol prices have also fallen in recent months, following on from a dramatic drop in the price of oil. A barrel of Brent Crude oil fell below $50 (£32) for the first time since January this year due to fears of oversupply; in the course of the month, the oil price fell 9%.

The fall in petrol price will be good news for families headed off on holiday this summer. RAC spokesperson told the Guardian:

“We expect this to be good long-term news for the nation’s 10.7 million diesel car drivers as well as for businesses operating commercial vehicles. Everyone should benefit from a better, fairer deal at the pumps going forwards”.