Tesco is to invest £70m in a new round of price cuts across grocery and non-food from Monday as the multiples go back to war for 2001. The permanent cuts will reduce the cost of an average weekly family shop by 20%, claimed Tesco, with reductions highlighted by a new "highly visible" green PoS. Price cuts include Homepride flour (1.5kg) down from 74p to 59p, and Gillette Series Coolwave gel 200ml down from £2.95 to £1.68. A spokesman said: "This is part of our ongoing commitment to EDLP. We polled our customers to find out what products they wanted to see reductions on. "Everyone will notice the difference, no matter what they buy. The price comparisons are massive." Further deep cuts from Asda are planned for next week. Somerfield has announced it is taking £200m off prices this year (see p6). Tesco said: "Somerfield were 10% or 11% more expensive than us to begin with. The cuts will maintain the gap." Sainsbury said it had no plans to chop prices, and refused to comment on competitors' pricing policies. {{NEWS }}