The supermarket reports a fall in profits and says shoppers are “watching every penny and every pound”.
Image source, Getty ImagesShoppers are “watching every penny and every pound”, the boss of Sainsbury’s has warned, as the supermarket revealed its profits had been hit by the rising cost of living.
Simon Roberts said the grocer got “how tough it is for millions of households” and was trying to keep prices low.
Food prices are rising at their fastest rate in 42 years as the cost-of-living crisis squeezes household budgets.
People are also struggling with higher energy bills and rising interest rates.
Sainsbury’s said sales across the business had climbed 4.4% to £16.4bn in the six months ending in September.
But the UK’s second largest supermarket also revealed a dip in profits as the business absorbed some of the impact of rising costs.
The company, which also owns Argos, said underlying pre-tax profit declined by 8% to £340m compared with the same period last year.
Mr Roberts said: “We will have invested more than £500m by March 2023 in keeping prices lower by cutting our costs… meaning we have more firepower to battle inflation.”