Aldi has said “it is very much business as usual” for the discount grocer after yesterday’s launch of Tesco’s £100 million Discounter range.

The initiative is Tesco’s biggest package of money-saving measures since the launch of its renowned Value range and is part of its bid to become the UK’s biggest discounter, taking on retailers such as Aldi and Lidl.

Aldi UK & Ireland group managing director Paul Foley said: “For Aldi, it is very much business as usual. We are focusing on what we do best – delivering high quality products at the best price. We have fundamentally lower costs than other supermarkets and work on a lower margin, which means we can continually offer customers great products at significantly reduced prices.”

Foley also hit back against claims made last week by Waitrose boss Mark Price that the upmarket grocer is cheaper than Aldi on its entry price points in five out of 25 product categories.

Foley said: “I would absolutely defy anyone to do a full week’s shop in Waitrose for the same cost as shopping in Aldi.”

He added that Aldi’s business is not built around offering the cheapest price, but it is “all about quality products for less”.

“We appeal as much to the quality seeker as the bargain hunter, because many customers are looking for ways to maintain, not restrain, their lifestyle and simply need to spend less,” he said.

“In addition, we have a low cost, highly efficient business model and we take less profit, which means we can consistently offer customers quality products at significantly lower prices on food and non-food ranges.”