Sainsbury's Bank

Tesco and Sainsbury's 'overvalued'

The FTSE 100 climbed in morning trading despite a 4% slump in Royal Mail shares as RBS and Sainsbury lifted UK blue chips.

UK supermarket Sainsbury's reported a drop in retail sales for the fourth quarter of 2014 as it warned its market will "remain challenging for the foreseeable future"

Liontrust's Steve Bailey and Jan Luthman have bought into Sainsbury's and a number of other ‘challenger banks' on the view the new entrants to the market will take market share from the ‘big three', particularly in the mortgage sector.

Supermarket giant Sainsbury's is to take full control of its banking franchise after agreeing to buy Lloyds' 50% stake in the business for £248m.

Warren Buffett's retail favourite Tesco has seen its shares plunge 14.2% following a profit warning today.