Tesco steps into currency market

Tesco will open its first in-store bureau de change later this month, under the name Tesco Travel Money.

The exchange will open in the supermarket's flagship Newcastle store on 30 September. If the concept is successful, it will be rolled out nationwide. Tesco is considering separate uniforms for staff at the bureaus.

The initiative is an extension of an existing partnership between Tesco Personal Finance and foreign exchange operator Travelex, which offers access to overseas currency through the Tesco website. The Newcastle service, which will be promoted in-store, will be jointly branded Tesco Travel Money and Travelex.

The bureau de change will compete against other foreign exchange services such as those run by Thomas Cook and the Post Office.

A Tesco Personal Finance spokesman said Tesco Travel Money will offer competitive rates of exchange and longer hours of opening than other providers.