Supermarket giant Sainsbury's raises its profit outlook while its boss warns many households are 'finding things tough'

Sainsbury's shares slid nearly four per cent to 346p in early trading after like-for-like sales growth slowed from 2.3 to 1.2 per cent in the three months to September. Fuel sales jumped 17.8% because the Iran war drove oil prices higher. Chief executive Simon Roberts credits Nectar Prices and its Aldi Price Match for pulling in shoppers. Underlying operating profit rose 3.6% to £525 million.

The grocer posted a £164m statutory loss, largely caused by offloading Argos.

Argos went for £120m, around a decade after Sainsbury's paid £1.4 billion for it.

Sales of the upmarket Taste the Difference range grew more than six per cent.