Netto is pumping £200m into a plan to open up to 70 stores in South Wales.

The Danish discounter, which already has stores in Flint and Holyhead, said South Wales was a key element in its UK expansion plans.

UK MD Claus Wædeled said: “Our experience in Flint and Holyhead has convinced us that there is ample room for further expansion of Netto in the principality.

“Like the Danes, the Welsh understand the benefits of value retailing and that is reflected in the sales we enjoy in our existing stores.

“We are now actively looking at a wide range of sites in South Wales and expect to invest more than £200m in the region.”

The new stores will be predominantly located between the M4 corridor through to Haverfordwest and the A645.

Mr Wædeled said: “Our new store opening programme will be a mix of new build and acquisitions and during the past 12 months we have established a very excellent process for identifying sites in good locations. This model means we can quickly identify sites and build a new store or refurbish an existing store in a very short period of time.”

A subsidiary of Dansk Supermarket Group based in Denmark, Netto currently has more than 135 stores in the UK.