Value retailer Home Bargains pretax profits jumped in the year to June 30 as it plots expansion outside of its northern heartland.

Pre-tax profits increased from £110.9m to £124.8m. Operating profits were up from £110.4m to £124.5m.

Turnover surged 21% to £1.28bn, driven by new store openings as well as like-for-like growth, according to documents filed at Companies House.

Home Bargains is the latest value retailer to report market-beating sales and profits. Poundland and B&M Bargains both floated this year and are both growing aggressively as they open more stores to take advantage of the rise of bargain-hungry Brits.

Home Bargains is on the expansion trail and plans to have 400 shops by the end of the current financial year.  The retailer said it wants 700 in the next three to five years and is poised to open a distribution centre in Amesbury near Salisbury to “further service expansion of the geographic base into the southern part of the UK”.