The company warns its annual profits will be at the lower end of expectations as it invests in its prices and staff in a bid to bolster its defences against the challenge posed by discount rivals.
Shopworkers' union Usdaw said that Tesco's hourly-paid retail and customer fulfilment centre staff would receive an additional 20p per hour increase from 13 November, taking the base rate from £10.10 to £10.30 per hour.
Tesco recorded UK like-for-like sales growth of 0.7% over the six months - recovering from a 1.5% decline in the first quarter - potentially reflecting a greater desire by shoppers to rein in their spending outside the home as energy and other costs surge.
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