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Shop wisely - and fight the squeeze on your wallet

Forget the credit crunch - you can get a carrot crunch for even cheaper than last month!

As prices are soaring, and the squeeze on your wallet is even tighter, it is nice to know some prices are falling.

In the second of our monthly checks on supermarket prices we reveal Asda comes out tops in the price stakes for our chosen selection of goods.

With Asda you can knock a further 22p off your bill compared to last month, but at Tesco and Sainsbury’s the total cost of items has increased by up to 24p.

Poultry, tea, cheese and chocolate biscuits were just some of the items that had gone up in price.

We decided to monitor the situation after rising food prices had pushed inflation 3.3 per cent higher than a decade ago.

Small chickens have gone up in price in all three supermarkets over the past month. At Tesco, however, it is more expensive, priced at £4.01 – 13p more than last month.

For those with a sweet tooth, you will be sad to hear that the price of chocolate digestives has also increased at Tesco by 12p and Asda, by a whooping 38p. However, Asda is offering a three-packet-for-£2 promotion to make up for it.

The price of cheese has remained the same at Tesco and Asda but at Sainsbury’s it is 4p more expensive.

But the cost in eggs, bread and whole milk has remained the same. You can also get a Stella four pack in all three supermarkets for roughly the same price as last month.

For bargain lovers you can grab a pack of Kellogg’s Corn Flakes for £1.00 at Asda. Other hot offers at Tesco include two packs of four Stella lager for £6.50, and at Sainsbury’s you can buy two Cadbury’s milk chocolate digestives for £2.

Petrol prices fall

Meanwhile, there is more good news for fuel bargain hunters - as two supermarkets have slashed fuel prices by up to 4p a litre.

Morrisons cut unleaded prices from a national average of 117.9p a litre to 113.9p and diesel from 131.2p a litre to 127.2p at 6pm at all its forecourts last night.

Asda has announced a 3p cut in petrol and diesel.

Unleaded has fallen from 116.9p to 113.9p a litre and diesel from 131.9p to 128.9p.

Both supermarkets have cut prices to meet the recent drop in oil over the last few days.

Mark Gunter, Morrisons group store operations director, said: “We are ensuring our customers reap the benefit by passing on the saving quickly, for cheaper prices at the pumps.

ASDA trading director, David Miles said: "We are seeing a more stable reduction in oil prices allowing us to pass on the savings to customers. We urge other retailers to follow our lead at a time when customers need as much help as possible.”

Sainsbury’s is also planning to slash 5p off a litre of fuel from Thursday for customers spending £50 or more in stores. The promotion will run for two weeks.

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