Sainsbury's to set out stall, with UK grocers on price war alert
Summary
Companies
LONDON, April 14 (Reuters) - When Sainsbury's (SBRY.L), opens new tab reports annual results on Thursday all eyes will be on whether Britain's second-largest food retailer follows industry leader Tesco (TSCO.L), opens new tab in forecasting lower profits this year to give it the flexibility to cut prices.
Last month, privately owned Asda, the number three player, flagged the start of a potential price war, saying it would take a hit to profits to finance a campaign of price cuts aimed at reversing a slide in its share of Britain's grocery market.
Tesco responded last week, forecasting 2025/26 adjusted operating profit in a range up to 500 million pounds ($654 million) below analysts' consensus expectations prior to its update, sending its shares down 6% and Sainsbury's down 3%.
Tesco CEO Ken Murphy said he was sending a message: "Whatever the competitive environment and whatever comes our way, we're capable of dealing with it."
Sainsbury's, which has a UK grocery market share of 15%, has guided to a 2024/25 retail underlying operating profit of 1.03 billion pounds, representing growth of about 7%.
For 2025/26 analysts are currently on average forecasting further growth to 1.08 billion pounds, but that could be under threat if, as seems likely, Sainsbury's follows Tesco's conservative approach.
Bernstein analyst William Woods likened the current state of UK food retail to an old Western movie.
"Each retailer gently ratchets up the pressure, unholstering their gun, taking aim and waiting to see who, if anyone, starts shooting," he said.
But he added that while there has been some intensification in competitive positioning in the market, there is currently no irrational price war and he does not expect one.
Sainsbury's has won market share over the last year, thanks to a strategy of matching discounter Aldi's prices on key items and providing better prices for members of its Nectar loyalty scheme, financed by cutting costs.
About a quarter of Sainsbury's sales are from non-food products versus about 7% for Tesco, making it more vulnerable to any knock-on effects on global shipping from the hike in U.S. tariffs.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Wales Online
3 hours ago
- Wales Online
10 award-winning supermarket wines you must try this summer — including a £7 bottle of red
10 award-winning supermarket wines you must try this summer — including a £7 bottle of red It turns out some of the world's best wines could be hiding in your local supermarket, according to the results of the 2025 International Wine & Spirit Competition Your favourite supermarkets sweeped at the International Wine & Spirit Competition (Image: Getty Images ) Summer is just around the corner, and with the warm weather and chock-a-block calendar often comes the need for a good glass (or bottle) of fine wine. Whether it's a cheap bottle of red or a snazzy bottle of champagne, UK supermarkets have got your back, as they swept up a load of medals with their own-brand drinks at the latest International Wine Awards. From Aldi and Tesco to Sainsbury's and M&S, all of your trusty supermarkets went head to head with wine producers from around the world and proved themselves to be some of the best. In one of the most competitive judging seasons yet, wines from your favourite household brands earned Gold, Silver and Bronze medals for their everyday-priced products. David Kermode, IWSC judge and broadcaster, shared: "These results are a wake-up call for anyone who still associates great wine with high prices." The best supermarket own-label ranges are now being made by some of the most respected producers in the world, and the blind tasting at IWSC proves just how well they perform." A £12 Tesco wine made the top 10 list (Image: Getty Images ) The top 10 supermarket wine winners In no particular order, here are 10 of the best supermarket wines that came out on top at the 2025 International Wine & Spirit Competition. 1. Aldi Animus Douro Reserva 2022 – £6.99 Article continues below This full-bodied Portuguese red received high praise for its richness and structure, coming out on top as one of the best-value medallists of this year's competition, with a silver win. 2. Co-op Les Pionniers Vintage Champagne 2013 - £22 This was the one and only supermarket Champagne to take the Gold, with its complex brioche and citrus notes, as a standout vintage in the category. 3. Sainsbury's Taste the Difference Châteauneuf-du-Pape 2022 - £16 One judge described this drink as "impressively elegant", which helped to rank it as gold, thanks to its bold southern Rhône red made in partnership with top estates. 4. Tesco Finest Sauternes - £12 This drink is a classic French dessert wine that offers a luscious, honeyed fruit, sitting at half the price of its château equivalents. 5. M&S Collection Saint Gall Premier Cru Champagne NV - £28 Made in partnership with a historic grower in Épernay, this champagne offers an elegant, chalky feel that is finely textured. Two selections from M&S made the top 10 list (Image: Mirrorpix ) 6. Asda Extra Special Rioja Reserva 2019 - £8 The Asda fruit-filled wine was praised for its structure and ageing potential, alongside its classic vanilla, spice and red fruit Rioja profile. 7. Sainsbury's Taste the Difference English Bacchus 2023 - £9.50 This is a fresh and zesty white made right here in England and earned itself a silver ranking in a competitive aromatic white category. 8. M&S Collection Picpoul de Pinet 2023 - £9 When it comes to an ideal summer drink, this is your best friend as a crisp, coastal white from the Languedoc. 9. Waitrose No.1 English Sparkling Brut NV - £22.99 The unsurprising entry from Waitrose is one of the UK's most awarded sparkling wines, holding its own against Champagne. Article continues below 10. Sainsbury's Taste the Difference Barolo 2019 - £14 This Barolo is an accessible expression of Italy's king of wines and gained a silver award for its delicious dark cherry and rose petal notes. The CEO of the International Wine & Spirit Competition, Christelle Guibert, explained the significance of the supermarket wins. They shared: "At the IWSC, every wine is judged blind by a panel of experts from across the globe. What makes this year especially exciting is the number of affordable supermarket wines standing out alongside premium bottles. It's proof that great winemaking doesn't have to come with a luxury price tag."
The Sun
10 hours ago
- The Sun
How to have a ‘no-spend summer holiday' with a family of four – free festival tickets, meals at Bella Italia and more
THE SUMMER holidays are looming – and with them come scorching prices. The six-week break can cost parents a staggering £1,000 a week - but imagine if you could get days out, sports clubs, restaurant meals, theme parks and even holidays for FREE. 6 6 Here, we reveal how YOU can have a no-spend summer - without missing out on the fun. FREE HOLIDAYS WITH some preparation, it's possible to have a free holiday. Big supermarket spenders can save up loyalty points, like Sainsbury's Nectar and Tesco Clubcard, and use them to book hotels and travel. Tesco has linked with easyJet Holidays this year meaning your vouchers are worth double if you use them to book a break away. Claim a maximum £300 worth of Clubcard Vouchers which equals £600 in credit for easyJet holidays. Try house sitting or swapping for a free family break. Register with sites like TrustedHousesitters or HomeExchange and stay in other people's homes for nothing (but do factor in registration fees). Anna and Pete Bundock enjoy free holiday accommodation thanks to house swapping. They've saved up to £25,000 over the past nine years on 37 trips. With sons Simon, 16, and Martin, 14, they have stayed all over Europe from Switzerland to Germany. This summer, they'll be swapping their home in Crystal Palace for a week's stay in Switzerland and then Mallorca – saving them £5,000. Sales support coordinator Anna, 47, said: 'It's been a no brainer. We've had more holidays because we don't have to pay for accommodation.' They use the website HomeExchange and pay an annual membership fee of £180 for unlimited swaps. 6 6 FREE SPORT There are free alternatives to pricey holiday camps, which cost, on average, a whopping £175 a week. McDonald's runs a series of free football sessions for kids aged 5 to 11 at 1,600 locations until July 27. Visit the fast food chain's website to sign up. There are also McDonalds Fun Football Festivals around the UK throughout July and August. Kellogg's is also offering free football camps for five to 15 year olds. Sign up through the on-pack promotion. Kids can practise their aces for free at tennis sessions offered by There are 12 sites nationwide. Log on to the Lawn Tennis Association's website to find free park tennis sessions too. Free swimming sessions are offered to under 18s at many council leisure centres. Register first before booking the specific slots. FREE WORKSHOPS There's bound to be a free workshop for the kids near you this summer. Dobbies garden centre hosts Little Seedlings gardening workshops for kids aged four to ten. Pets at Home is offering free 45-minute pet workshops. Visit Kids aged six to ten can make movies on an iPad at Apple Summer Camp, hosted in local branches. You can't register yet, so sign up for updates at FREE TOYS AND BOOKS Keep the kids entertained by visiting a local toy library where you can borrow games and more. Some charge a registration fee, but low income families could get free membership. Check out Facebook marketplace and Gumtree for toys, books and games listed for free. Apps like Young Planet will match you with nearby parents who want to get rid of old toys - you don't have to pay anything. Organise a toy swap with other parents and host play dates. FREE FESTIVALS AND TRIPS 6 Look on local events sites or your council website for free festivals near you. You can also read the list at There's Stockton International Riverside Festival in the north-east, and Bristol International Balloon Fiesta in the south-west, for example. Fun and colourful free Pride events also take place across the UK in July and August. See if festivals offer free tickets in exchange for helping out. Save up your Tesco Clubcard vouchers and use them to pay for attractions where you get twice the voucher's value to use on tickets. A £5 voucher gives you £10 to spend with Reward Partners, like theme parks, and wildlife parks. Sign up to Sun Club for the year for £12 and get free or discounted tickets for top attractions. We're offering 10,000 free tickets to Warwick Castle - apply before June 18. FREE DAYS OUT Fill your summer break with day trips that won't cost you a penny. There are city farms across the country, which often only ask for a donation. Museums are fun for the family and many are free, like The Golden Thread Gallery in Belfast and Perth Museum in Scotland, which have been shortlisted for this year's Art Fund Museum of the Year. The Young V&A in London was last year's winner. For free days out near you, lists events in 12 towns and cities across the UK. Also check out Eventbrite for free activities. Harry Potter fans can do a free walking tour in Edinburgh. Check out Search 'places to visit' at and filter by 'free to enter' to find more than 200 sites. Go to and search 'walking' for a long list of places to take the family for free. It also lists free places under the 'visit' tab, like Penrose in Cornwall. Catch a movie for free at outdoor screenings around the UK. For example, Sun Money spotted free screenings in Newcastle from late July to early September. FREE FOOD Take the kids out for tea for free at chains and supermarkets. One of the cheapest meals out is at Asda cafe, which is £1 for kids with no adult spend needed. You can get one free children's meal at Morrisons, but you must buy one adult meal worth £4.50 or more. Kids under eight eat free between 12pm-5pm at Angus Steakhouse. Get one free meal for every paying adult. On Thursdays, one child can eat free with every adult meal at Bella Italia. Get a free kids pizza for every full-priced adult main at Franco Manca. Check the T&Cs ahead of time to make sure you qualify - there's an age limit on most deals. I saved £1,200 last summer - here's my no-spend tricks TEACHER Lavania Oluban saved £1,200 last summer on free festival tickets, cheap picnics and more thanks to her no-spend tricks. Lavania , 37, from Birmingham, volunteers to help at festivals and brings her son Arlo, 7, with her. Sharing her tips on Instagram at the_amazing_adventures_of_me, she's bagged free tickets for the past three years at The Big Feastival at Blur bassist Alex James' Cotswold farm by volunteering at the event's craft tent. She saved £300 last year, and around £900 in total over three years. 'The three-hour stint each day is great fun and gives me an Arlo a free pass to the event as well as camping,' she said. Arlo also has a Blue Peter music badge which gets him free entry to loads of attractions, saving Lavania £100 last summer and more than £500 over the year. She said: 'Earlier this year, we went to Edinburgh for the weekend, stayed in a friend's spare room and visited Edinburgh Zoo. 'Arlo got in free with his badge and I used my Blue Light Card, for healthcare workers and teachers, which gave me hugely reduced entry.' Lavania looks for free days out offers on social media and also enters competitions. She once won free entry for four people to Drayton Manor theme park. 'I pick the ones that don't have as many likes or comments, so I have a better chance of winning,' she said. She uses Clubcard points to get free entry to local attractions and then uses Nectar points to buy a picnic. 'I get a real buzz from having a great day out for free.'
Reuters
13 hours ago
- Reuters
Inter Milan set to early repay bond as plans new debt deal
MILAN, June 13 (Reuters) - Champions League finalist Inter Milan is set to repay early a 415 million euro ($479.57 million) high-yield bond this month as the Italian soccer club prepares to secure funds from a new debt deal, it said in a statement on Friday. Inter Milan paid a 6.75% coupon to place a five-year bond in 2022 to refinance Italy's top-flight soccer club's debt. The debt facility was issued by the Serie A club's media company, which manages the broadcast and sponsorship business of Inter Milan. The company plans to redeem the bond on June 26, subject to securing funds from a debt financing transaction by the business day before the redemption date, it said in a statement. Companies typically repay debt early to secure better financial conditions. Controlled by U.S. investment fund Oaktree (OAK_pa.N), opens new tab, Inter Milan was reportedly tapping private debt investors to refinance the debt facility. Oaktree took over the club last year after a missed 395 million euro payment from the then majority shareholder, Chinese conglomerate Suning ( opens new tab. ($1 = 0.8654 euros) (This story has been refiled to fix typos in paragraphs 1 and 5)
