Sainsbury’s is spending £220m in its current financial year to keep prices low for customers.

The supermarket expanded its ‘Aldi Price Match’ campaign earlier this month, matching the price of more than 550 products across food and household essentials to those on sale at the German discounter.

It is also launching a special extra low prices for Nectar card members from Wednesday.

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Sainsbury’s boss Simon Roberts will reveal the next phase of his ‘Food First’ blueprint on 7 February, This is Money reported.

The chief executive has cut costs by £1.3bn over the past three years and passed £780m of those saving into price reductions.

Roberts said: “We have saved £1.3bn of costs. We had to make some tough decisions. We decided not to run counters [for cheese, meat and fish] anymore, and we reduced the number of office locations and consolidated them.”

The supermarket has also ploughed £500m of those savings into raising store staff pay, which is set to increase again in March by 9.1% to £12 per hour and £13.15 in London.

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