In the same week Sainsbury’s unveiled a further £150m investment in price to tackle competition from the discounters, its own discounter Netto has come out nearly £10 cheaper on a basket of goods.

An analysis by The Grocer of 22 products at the discounter’s new store in Heaton Park, Manchester, found Netto to be £9.88 cheaper than Sainsbury’s on products including milk, toilet tissue, Marmite and fruit & veg.

Netto’s total basket came in at £23.25. Sainsbury’s, in comparison, was £23.78.

The Heaton Park Netto opened on Wednesday adjacent to Sainsbury’s, which announced a joint venture with Netto’s owner Dansk Supermarked in July this year. Our analysis shows that if Sainsbury’s shoppers had chosen to buy their basket of goods from the Netto next door, they would have made savings on nearly all of the products. Netto was cheaper on 21 of the 22 lines, with Sainsbury’s only managing to undercut it on cauliflower. Sainsbury’s was also a hefty £1.75 dearer on gammon steaks.

“Netto is definitely back. Fantastic fresh food and, as this shows, very strong prices too,” said Morten Moeberg Nielsen, managing director of Netto UK.

Netto opened two further stores this week, in Sheffield and Manchester. It will also open a store in Doncaster later this month.