Drivers could save up to £4.50 on a tank of petrol under the Government's proposed "Pumpwatch" scheme.
The Pumpwatch scheme would allow drivers to compare up-to-date petrol prices online - either through a website or app - so they can find the cheapest option in their area.
It comes after Brits were found to have paid an extra 6p per litre for fuel at supermarkets last year as weak competition let them charge more.