As reports indicate that petrol could drop to just £1 per litre across the UK in the near future, what are the facts and what effect could it have on Cumbria?

The 18-month slump in unleaded and diesel prices could be set to continue, according to a top official at one of Britain's leading breakdown recovery companies.

RAC chief engineer, Dave Bizley, said the recent 2p drop in wholesale fuel prices could end up in the pockets of consumers nationwide.

Mr Bizley said: "There's typically about two weeks lag in the system. So there's a very good chance that within a few weeks people will be selling fuel at £1.01.

"Then the temptation to move that extra penny or so will be unavoidable."

A recent report released by FairFuelUK claims that cutting fuel duty prices in the UK, which have been frozen since 2011, would have a positive effect on the economy.

One of the key points of the report is that cutting fuel duty could be worth £11.6bn, the equivalent of the annual economic production of a city the size of Sheffield.

Quentin Willson, lead campaigner for FairFuelUK, said: "The government must do everything in it's power to reduce fuel duty. Our future economic strength depends on this policy."

A spokesman for Morrisons supermarket said: "There has been nothing to suggest that this will happen, but we will continue to remind our customers in the Barrow area of our current promotions regarding fuel prices."

The average price of petrol is currently £1.07 per litre, however, some supermarkets are already selling petrol at £1.03 per litre.

The sharp decline in crude oil prices is behind the slump. Since June last year oil prices have more than halved.

As a result, both the prices of Brent Crude oil and US Crude oil have dropped below the $50 per barrel mark for the first time since 2009.

While the price of diesel has been steadily declining since May, unleaded fuel has taken much longer to do so as unleaded relies on wholesale fuel prices. 

The 2p drop has meant that both unleaded and diesel prices are now declining at the same rate.

In the Barrow area, Tesco Extra, Asda and Morrisons offer the lowest prices. They are selling unleaded petrol at just over £1.03 per litre and diesel prices at just over £1.06 per litre, well below the average price.

Falling prices will be welcome news to Cumbria commuters, with long-distance travelling a routine for many. The savings also mean there's a chance to spend a little more in the weeks leading up to Christmas.

Rowland Saunders, of M E Saunders & Sons trucking company, based in Ulverston, said: "It means quite simply that it would make life a lot easier for us.

"Our trucks travel on average between 500 and 600km each day so something like that would be a great advantage for us.

"Cumbria is one of those places where everyone has to travel everywhere so it will make life a lot easier for everyone."