Tesco, the UK's leading retailer, has paid out around GBP8 million after getting claims from more than 17,000 customers whose cars were left damaged as a result of the 'faulty' fuel fiasco.

Asda is to send out cheques this week to 3,000 customers who collectively claimed GBP1.4 million in compensation. Morrison said that it has resolved 94% of claims, but declined to state exactly how much it had paid out or the number of customers affected.

The problems were caused by a rogue batch of fuel from a storage depot in Essex. Repairs to cars cost customers between GBP100 and GBP1,000 per car.