Tesco is making every effort to cut prices, according to boss

According to Ken Murphy, the rate of food price increases will continue to decelerate this year, relieving pressure on consumers.

Due to lower wholesale food prices, the largest supermarket chain in the UK recorded an increase in earnings for the first half of the year.

It claimed that consumers were purchasing more items under their own labels to save money.

Consumers are beginning to see "stability in pricing and actually, they're starting to see prices coming down," Mr Murphy told the BBC.

He said, "We recognise how difficult it is for many households across the country, as they continue to struggle with continuous challenges related to the cost of living.

Tesco's sales increased by 8.4% over the prior year's comparable period in the six months that ended in August, primarily as a result of higher pricing.

Due to cost-cutting measures and increased consumer traffic, the grocery store's retail earnings increased by 13.5% to £1.4 billion.

The largest supermarkets were accused earlier this year of profiteering from rising costs, but they denied doing so.

The Competition and Markets Authority eventually concluded that there was no proof of profiteering, but the watchdog ordered shops to be more transparent about pricing.

Tesco updated its annual profit projection today, stating it now anticipates retail profits to range between £2.6 billion and £2.7 billion, up from an earlier prediction of £2.5 billion.

Own-brand

Following Russia's invasion of Ukraine last year, food prices worldwide skyrocketed, increasing the price of a weekly purchase.

However, the British Retail Consortium reported this week that food prices fell for the first time in a month in over two years in September.

In order to save money, Mr Murphy said that Tesco's customers were moving to own-label products, including 'treating themselves at home' with items from the Finest line.

Although Tesco continues to face fierce competition from discounters Aldi and Lidl, he said that customers were also moving from high-end merchants to Tesco.

(Sources: bbc.co.uk, brc.org.uk)