The supermarket giant also said that it would continue to offer Clubcard customers double up points. Tesco has this year so far given customers £463m back to customers through Clubcard vouchers.
Tesco launched its Christmas TV ad last week featuring the new Tesco Family, Faye Ripley and Mark Addey. The ad features popular products, including the Nintendo Wii console with Sports Resort, which has already sold 3,700 units.
'We know that our customers are looking for great value this Christmas and that is what we are giving them with more offers than ever before,' said Tesco UK marketing director Carolyn Bradley.
Yesterday, rival supermarket Asda, pledged to cut costs throughout stores by £150m for Christmas. The Walmart owned company said that it believed the cost-cutting would be ‘the most aggressive on price in a decade'. Asda also announced that during the quarter ending 30 September, it increased market share to 17.3%, compared with 16.9% of the same period last year.