- UK retail sales fall in first-quarter
- Shoppers moving to value items to save money
Tesco (TSCO) warned that the cost of living crisis is affecting consumption after reporting a fall in UK retail revenue, with management saying that customers are moving towards value products to cut down on shopping costs.
In a trading update, chief executive Ken Murphy said “we are seeing some early indications of changing consumer behaviour as a result of the inflationary environment”. Speaking on a media call, he noted that for staples like bread and pasta, “we are seeing the customer choose the own brand or the entry-level brand variety to help them manage their overall basket cost”.