Tesco Cuts Price On Staples

26/09/11 -- Imagine my delight upon hearing that everybody's favourite dictatorship is to cut the price on staples. I mean the old stationery cupboard has a bit of room in it, so why not take the opportunity to stock up I thought.

Sadly, those aren't the kind of staples that they have in mind. It seems that, concerned about their falling market share, they're slashing the price of milk, bread, apples, potatoes, carrots etc in an attempt to woo back some custom.

In fact they say that they are knocking 30% off around 3,000 everyday items.

It remains to be seen who really foots the bill for what the media are calling a GBP500 million "price cutting offensive."

Richard Brasher, Tesco's UK chief executive, says in the Independent that: "there would be some negotiation with suppliers over price cuts, but he would expect most to welcome the move as it will boost volume."

I bet that has put everybody's mind at rest then.