Sainsbury’s

blamed a slowdown in sales on money pumped into price cuts. Takings edged up just 0.2% in the 16 weeks to the end of June.

Boss Mike Coupe said it raked in less as a result of a deliberate move to lower prices for customers.

The action had succeeded in boosting the amount of shopping people bought, he added.

Coupe denied the slowdown was due to it being distracted by a proposed £12billion merger with Asda.

While grocery sales slowed, its non-food arm enjoyed a 1.7% jump, boosted by the Argos arm.