UK markets closed
  • FTSE 100

    7,500.89
    +34.98 (+0.47%)
     
  • FTSE 250

    20,338.96
    +93.53 (+0.46%)
     
  • AIM

    933.20
    +4.84 (+0.52%)
     
  • GBP/EUR

    1.1820
    +0.0002 (+0.02%)
     
  • GBP/USD

    1.2139
    -0.0064 (-0.52%)
     
  • BTC-GBP

    20,084.66
    +275.60 (+1.39%)
     
  • CMC Crypto 200

    574.64
    +3.36 (+0.59%)
     
  • S&P 500

    4,280.15
    +72.88 (+1.73%)
     
  • DOW

    33,761.05
    +424.38 (+1.27%)
     
  • CRUDE OIL

    91.88
    -2.46 (-2.61%)
     
  • GOLD FUTURES

    1,818.90
    +11.70 (+0.65%)
     
  • NIKKEI 225

    28,546.98
    +727.65 (+2.62%)
     
  • HANG SENG

    20,175.62
    +93.19 (+0.46%)
     
  • DAX

    13,795.85
    +101.34 (+0.74%)
     
  • CAC 40

    6,553.86
    +9.19 (+0.14%)
     

Tesco's operating cost inflation running at 5% - finance chief

  • Oops!
    Something went wrong.
    Please try again later.
·1-min read
General view of a Tesco Extra store sign in Bletchley
In this article:
  • Oops!
    Something went wrong.
    Please try again later.

LONDON (Reuters) - Tesco, Britain's biggest retailer, is currently facing operating cost inflation of about 5%, its finance chief said on Thursday.

"When I look at operating costs, our costs to run the business, we typically would work with an inflation assumption of 2% to 3%. This time round I'm thinking that will probably be more close to 5%," Chief Financial Officer, Imran Nawaz, told reporters after Tesco updated on Christmas trading.

He said Tesco would mitigate inflation for consumers through its cost saving programme.

"The key question that we're working through for next (financial) year is which elements of the inflation that we're seeing is transitory and which ones will persist and that will determine how much savings we need to be driving."

Chief Executive Ken Murphy said inflation for consumers was about 1% in Tesco's third quarter and over the Christmas period.

(Reporting by James Davey; editing by Michael Holden)

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting