Tesco is to cut about 400 jobs across its stores and head office, the supermarket chain has said.

The supermarket announced the move as part of plans to “simplify” the business amid a market which it said is “more competitive than ever”.

Managers at the company’s head office and Tesco Mobile phone shops as well as staff at its in-store bakeries will be affected.

Matthew Barnes, Tesco’s UK boss, said: “These are difficult decisions affecting our colleagues, but we believe they are necessary to enable us to invest in what matters most to our customers.

“Our priority is to support impacted colleagues and we will do everything we can to help them find alternative roles within our business. Today, we have almost 1,000 vacancies available.”

Tesco’s move comes after Sainsbury’s announced last week that it will axe more than 3,000 jobs and plans to shut its remaining in-store cafes as part of a major overhaul.

The headcount reduction represents about 2% of the company’s current 148,000-strong workforce and will see about 20% of senior management roles cut at the supermarket giant.

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