Morrisons has announced it plans to reduce prices on a further 2,000 Safeway products over the next month, as part of its move to slash prices throughout the stores it acquired earlier this month.

The northern-based chain has said it wants to cut Safeway prices by six per cent by the autumn and it has already cut prices on more than 800 basic items.

It is hoped that the move will help the group halt the accelerating slide in underlying sales at Safeway, which are four pent lower than last year.

Morrisons has also said it hopes to lure some ex-Safeway staff to its Bradford head office where it plans to double staff numbers to about 1,500.

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