Tesco chief executive Ken Murphy has said that he is seeing signs of easing inflation which is enabling the company to reduce the price of some goods.

While the news will be welcomed by cash-strapped Brits that have seen their grocery shopping get progressively more expensive, Murphy warned that the journey to cheaper products was “not all straight forward" with prices of other goods continuing to rise.

Tesco was one of several supermarkets which lowered the price of own brand bread and butter last month. Prices of some staple goods have risen by as much as 80 per cent.

“We are very conscious that many of our customers continue to face significant cost-of-living pressures and we have led the way in cutting prices on everyday essential items,” Murphy said.

“There are encouraging early signs that inflation is starting to ease across the market and we will keep working tirelessly to ensure customers receive the best possible value at Tesco,” Murphy said.

The comments were made in the wake of Tesco’s first quarter 2023 results, where the company announced sales have risen by nine per cent to £10.8 billion in the 13 weeks to 27 May 2023.

Online sales rose by around eight per cent taking the supermarket’s online share to over 37 per cent over the same time period.

Booker, Tesco’s wholesale distribution business, saw retail sales grow by around 15 per cent with catering sales rising by 10 per cent.

Consumer champion Which? recently reported Tesco to the Competition and Markets Authority (CMA) over a lack of detailed pricing information on its loyalty card offers. Which? alleges that Tesco has failed to adequately explain the unit price of deals available to its Clubcard holders, which would more easily enable consumers to assess which package sizes between different brands represent the best value for money.

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