MAJOR supermarkets today announced a new round of price cuts in a bid to lure struggling consumers.
Both Asda and Tesco promised lower prices over coming days to outflank their rivals.
Leeds-based Asda unveiled a range of goods, including two pints of milk, for sale over the weekend at 50p.
It said customers would be able to buy milk at its cheapest since 2001 following increases of about 21% in the last year. Other 50p products include bread and butter, eggs, meat and vegetables.
The price cuts are in effect from today to Sunday. Suppliers would not be affected by the reductions, Asda said.
Asda trading director Darren Blackhurst said: “Customers are telling us this is the time of the month they’re really starting to feel the pinch and that’s why we’re investing in price cuts where they really count, on everyday essentials.”
Asda announced yesterday that sales of its budget ranges rose by more than 20% as customers opted for bargain buys to offset rising costs.
Asda said the trend helped lift underlying sales by 6% during the second quarter of 2008 against 5% for the first three months of the year.
Menawhile, Tesco cut the cost of 18,000 products in its biggest weekly promotion yet.
The retailer said it was reducing the price of a range of everyday goods from bread, sausages and pizzas to school uniforms and home ware. Tesco said the move meant it had cut £620m from prices since January.