Tesco sales edge lower as ‘uncertain backdrop’ weighs on shoppers

Tesco failed to accelerate its sales growth in the first half of this year as the UK’s biggest supermarket warned an “uncertain external backdrop” was squeezing shoppers. The FTSE 100 grocer posted like-for-like sales growth of 0.9 per cent in the second quarter of this year, marking a further slowdown from the previous quarter’s lower-than-expected one per cent growth. The supermarket giant holds a dominant 27.8 per cent share of the UK’s grocery market, far beyond that of rivals Sainsbury’s and Asda, but has seen its growth falter so far this year. Last year, Tesco posted 4.6 and four per cent sales growth in the first two quarters of the year, compared to this year’s one per cent growth across the first half. Chief executive Ken Murphy said the supermarket is focussed on giving customers the best value for money, amid fears that the Iran war could send food prices soaring. He told shareholders on Thursday: “Against an uncertain external backdrop, we have continued to