Retail chain 'boosts East of England economy by £4.4bn', report suggests
PUBLISHED: 09:10 13 June 2018
An independent report commissioned by supermarket giant Tesco suggests it makes an economic contribution of nearly £4.4bn to the East of England over a 12 month period.
The chain supported an estimated 83,905 full-time equivalent jobs and worked with approximately 800 local suppliers, according to the KPMG study.
Out of every £1 spent by Tesco customers, 73p goes back to farmers and suppliers from across the UK, 11p is paid to Tesco staff in wages and 3p is paid to the Government in tax, the report, which looked at its socio-economic impact in the financial year 2016/17, said.
Every £1 of direct economic activity at Tesco was also found to generate an additional £5.46 in value to the UK economy as a whole.
The report for Tesco, the largest grocery retailer in the UK with a 28% share of the market in terms of sales in 2017, is part of a wider programme by the retailer, Value in Your Town, which sets out the role it plays in communities.
Jessica Dean, local communications manager for Tesco in the east, said: “While Tesco is just one small part of the community in the east, we recognise we have a responsibility to serve the community the best way we can.
“Tesco exists to serve shoppers, but we’re also a place where people work to support their families and we are an important partner for local businesses too.
“This independent research shines a light on our role and responsibility here in the East of England. It provides us with a clear picture of the opportunities and jobs we help create, the local businesses that we help support, and critically, how we play an active role, on the ground, supporting the local community.”
In the 12 months measured, Tesco provided almost 372,489 meals to those in need in the east via its Community Food Connection initiative, which reduces food waste by redirecting unsold food towards community groups who can use it.
The initiative was rolled out to Tesco Express stores last year to enable more groups to access food that might otherwise have gone to waste.
Shoppers who voted in the Tesco Bags of Help scheme in stores across the East of England helped to channel more than £2.9m raised from carrier bag sales towards community projects in their area.