Asda has this morning kicked off a supermarket price war, reducing the prices of over 1,000 essential items.

200 health and beauty lines are to be cut to£1, as will 100 frozen food products. Other rollbacks include three packs of fresh meat or chicken for£10, and 50 leading wines available at three bottles for£10.

Asda chief executive Andy Bond claimed the long-term rollbacks were being funded by savings in the use of energy, by cutting waste and reducing bag use, and were in contrast to the "gimmicky price promotions" offered by rival supermarkets.

"No longer can retailers claim they're investing hundreds of millions of pounds in lowering pricesand not provide hard evidence as to how and for how long," he said.