Tesco today emerged as a winner in the latest price war in the supermarket sector after reporting a 7.8 per cent rise in like-for-like sales.
The grocery chain said its core food business in Britain had captured market share from rival retailers in the wake of the merger of Morrisons and Safeway earlier this year.
Sky-high petrol prices also boosted sales growth during the 12 weeks to May 22nd, which was faster than the previous quarter and ahead of market expectations of around 6 per cent.
Tesco has invested more than £100 million sterling in slashing prices to meet the challenge of rivals such as Morrisons and Asda who have unveiled special offers on a host of goods this year.
In a trading update today, Tesco noted there had also been price reductions in its non-food business.
Total sales in Britain were 11.1 per cent ahead of a year ago, reflecting same-store growth and an expansion of selling space at existing outlets and new openings.
PA News