The People’s Supermarket had sales of more than £1m in its first full year of trading.

Turnover for the year hit £1.2m, with the community retailer claiming its net debt was declining “dramatically”. Despite the sales landmark, the supermarket suffered losses of £100,000 during the year – prompting chief executive Kate Bull to signal a “restructure” of the business.

“Our accounts prove today’s consumers want a retail alternative and are turning their back on the leading multiple retailers,” said Bull.

“We believe we have stabilised our financial situation, but there is more to do in reducing our net debt and we are now seeking to restructure our organization to take advantage of the investment opportunities offered by the launch of the Big Society Capital.”

The biggest area of growth was fresh fruit and veg, which the community retailer said now accounted for 25% of sales.  And its food waste programme saved more than two tonnes of waste otherwise destined for landfill.

Bull added: “We are grateful to the customers, members and suppliers who have supported TPS and helped to deliver its vision to create a commercially sustainable, social enterprise that achieves its growth and profitability targets as a business, while advancing the benefits of the community it serves.”