Environment

Tesco is to start labelling its packaging in 2008 according to whether it can be recycled, reused or composted.

The UK’s largest retailer, announcing record pre-tax profits of £2.65bn for the year to 24 February, said it would also show if packaging could not be recycled, reused or composted.

Tesco committed to reducing the amount of packaging on branded and own-label products by a quarter by 2010.

And it said it was “beginning the search” for a “universally accepted and commonly understood” measure of the carbon footprint of products that covers their lifecycle from manufacture through to use.

Tesco’s group sales increased by 10.9% to £46.6bn.

Chief executive Sir Terry Leahy said: “Tesco is investing for the future and delivering today.”