Tesco shares tumbled 16% after it said it was “disappointed” by its seasonal trading in the UK with like-for-like sales, which exclude the effects of new store openings, fell 2.3%, excluding fuel and VAT.

Tesco warned that it expected “minimal” profit growth for the current year as it increases investment, especially in the UK.

The supermarket warned that its profits for the year would be “around the low end of the current consensus range”.

The figures were released on a day when a whole host of UK retailers announced lack lustre performance over the crucial Christmas trading period

Read more of this report from the BBC here