A new scheme is being launched to ensure retailers share information about pump prices through live data with expectations that price comparison tools will be rolled out.

Information shared by the fuel sector will be collected by a single body as part of a ‘PumpWatch’ scheme.

The live data will then be made available to tech companies to develop price comparison tools that can be shareable via car sat-nav systems, smartphone apps and websites.

The Pumpwatch price comparison scheme could save motorists three pence per litre on fuel, Ministers say.

The move follows the successful use of the Consumer Council Fuel Price Checker in Northern Ireland, with prices in the nation usually being around five pence cheaper per litre when compared to the rest of the UK.

Once implemented, drivers will be able to access the lowest prices close to them through their sat-navs, mobile apps and online map.

Currently, pricing data is only made available the following day, meaning information provided is often out of date when motorists want to fill up. Petrolprices.com currently has an app that provides the rates from a day earlier.

The Department for Energy Security and Net Zero (DESNZ) says that by providing live forecourt pricing information drivers can instantly – and more accurately – identify the cheapest fuel in their locality and research the best places to fill up on longer trips to unfamiliar areas.

Data from RAC Fuel Watch shows that petrol costs an average of 139.89p per litre, while drivers of diesel vehicles will pay slightly less than £1.48.

Petrol recently fell to its lowest level in almost two years earlier this month, with pump prices falling to levels not seen since before the Russian invasion of Ukraine in 2022.

Twelve major retailers including the ‘Big Four’ supermarkets Tesco, Sainsbury’s, Morrisons and Asda had signed up to an interim voluntary scheme launched by the competition watchdog to share prices daily.

Ministers have now said the data-sharing scheme which is being consulted on will be a legal requirement.

Energy Security Secretary Claire Coutinho said: “Our work on competition and transparency is working. Drivers are now paying the lowest average price at the pump for two years.

“We are forcing retailers to share live information on their prices within 30 minutes of any change in price, helping drivers to find the best deal at the pump.

“This will put motorists back in the driving seat and bring much-needed competition back to the forecourts.”