Tesco reports UK sales increase

Supermarket giant Tesco reported an improving trend in UK sales today but warned that high fuel costs continue to divert customer spending from the tills.

The UK’s largest supermarket posted a 0.1% drop in same-store sales excluding fuel and VAT in the 13 weeks to May 28, up from a 0.7% fall in the previous quarter. Total UK sales including fuel and VAT were up 7%.