Supermarket chain Tesco is set to appoint a framework of contractors to upgrade 450 stores over the next three years.
The deal follows Tesco’s £519m acquisition last year of T&S Stores, which ran the One Stop and Day & Night stores. The shopping group plans to rebrand and upgrade half of T&S’s 900 shops, which also include Dillons and Supercigs.

Tesco has whittled the contractors for the framework down to 17 from the 46 that pitched for the deal. It is understood that the firms include office fit-out contractors and retail specialists. The client will choose a shortlist of 10 to 12 firms.

Tesco plans to complete about 10 refurbishments a year. Insiders say the average value of each upgrade will be £300,000.

The stores will be renamed Tesco Express. Tesco said that many of the 900 stores were too small to be rebranded.