Britain’s biggest retailer Tesco has warned its multinational suppliers against pushing up prices after a drop in the pound so they can maintain their reported profits.

British supermarket giant Sainsbury’s yesterday said it was prepared for an escalation of price wars in Britain’s highly-competitive supermarket sector after reporting a decline in underlying quarterly sales.

Whether you’re selling clothes or baked beans, UK retailing is a tough place to be right now.

Sainsbury’s, Britain’s second biggest supermarket, reported its first quarterly sales increase in more than two years, three days before a deadline for it to raise its offer for Home Retail, which owns Argos.

Sainsbury’s, Britain’s second-biggest supermarket, yesterday confirmed a better-than-expected performance in its Christmas quarter and upgraded its sales forecast for the second half.

Sainsbury predicted no let-up in the difficulties facing the UK supermarket industry, taking the shine off a better-than-expected Christmas quarter.

The FTSE 100 Index fell for the fourth session in a row in today as traders took little comfort from the latest eurozone recovery measures.

Former Asda boss Allan Leighton is set to lead a takeover bid for struggling UK supermarket chain Sainsbury’s, reports today said.