Boots is planning to allow other retailers to use its shop space in 150 of its biggest stores, its chief executive Richard Baker has revealed.

Baker said that it has already set up a pilot for Travelex exchange bureauxs in some of its shops and over the next few months would be establishing partnerships with other retailers.

The group is also breaking into the mobile phone business under a joint venture with Vodafone.

Baker said: “We can be really excellent in health and beauty and all of the things that are immediately attached to that. There are also other businesses where we can operate with partners and make a difference.”

“If you take mobile phones, we have space to trade them and we can partner with somebody to give them access to a female customer base.”

Boots has been facing increased competition from Tesco and Asda in recent months as the supermarket groups continue to expand into the health and beauty sector.