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Tesco slashes its prices

Tesco will make massive price reductions across its most fashionable lines next season and unveil a new high street-style shopfit to help it fight back against value retailers such as Primark.

Tesco is to cut prices based on specific pieces rather than introducing a flat-rate reduction. A tulip skirt from Tesco’s premium F&F sub-brand, for example, will retail at £8 next season compared with the existing £15 price tag.

Jan Marchant, category director for buying on womenswear, kidswear and accessories, said: "Next season’s collections are fashion forward at killer prices. We need to compete with the value players. Customers will start to see a difference in our price points from January."

Tesco will also roll out a new store concept, after unveiling its new look in Blackpool in Lancashire last month. "The idea was to make the clothing area look different from the rest of the store," said Marchant.

The new concept includes shop-in-shop formats for each department and will offer better densities to maximise sales.

The supermarket is also to unveil a kidswear range by designer Elspeth Gibson. The 12-piece collection for girls aged three to 10 will hit stores in March, with prices from £4.

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