A Poundland store in Ipswich has cut its prices to 93p in a bid to compete with a new 99p Stores branch that has opened nearby.

The new 99p Stores branch opened in the city centre with an opening offer of 94p on all items, prompting Poundland to take a competitive stance in response and lower its prices to 93p.

The price change was spotted by a member of deals website HotUKDeals, the Telegraph reported. The member wrote: “A new 99p stores shop has opened opposite Poundland in Ipswich and a price war has begun!”

99p Stores commercial director Hussein Lalani said there is often “competitive tension” when the two retailers open near to each other.