Sainsbury said yesterday it was seriously considering moving out of its Central London head offices, according to newspaper reports.

The supermarket retailer outbid US investment bank Goldman Sachs four years ago to rent the former Mirror Group headquarters.

The possible move from Holborn forms part of chief executive Justin King’s strategic review, following his recent decision not to build a distribution depot in Berkshire.

The company pays an estimated £16m a year in rent for the office, which cost about £45m to refurbish. Property consultants have estimated that Sainsbury could save between £2m and £5m a year by moving offices.