Tesco is fielding probes from three regulators
Aldi and Lidl continued to take more of the market shareReuters/Luke MacGregor

Beleaguered supermarket Tesco has finally been given cause for optimism after it recorded sales growth for the first time in a year, according to researcher Kantar Worldpanel.

Tesco increased sales by 0.3% for the 12 weeks to 1 February compared with the same period last year, Kantar said.

"Britain's largest retailer is bouncing back from a tough year, with Dave Lewis's efforts to overhaul the supermarket attracting an additional 236,000 shoppers into its stores in the last 12 weeks," said Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel.

Tesco has experienced an abysmal year, marked by a £267m over-statement on its books. It has also seen its market share diminish, as super discounters Aldi and Lidl have won their share of UK shoppers: Aldi's market share was up 0.8% to 4.9%, while Lidl increased its share 0.4% to 3.5%.

Meanwhile, newly installed Tesco boss Dave Lewis, who took over in September last year, has overhauled the management structure of the British retailer.

Overall, the grocery market grew by 1.1%, driven by intense price wars by Britain's biggest supermarkets.

Grocery prices fell by 1.2%, saving Britons £327m over the quarter.

McKevitt continued: "Shoppers are taking advantage of both lower fuel prices and the continuing price war among the supermarkets to slightly increase their grocery spending."