Supermarket giant Asda is stepping up the "store wars" saga after announcing £52 million of cuts on branded goods.

From today, the store is introducing 400 of American parent company Wal-Mart's own-brand "Smart Price" products to its shelves.

The chain estimates the cuts on well-known brands will shave around £600,000 a day off its customers' shopping bills alone.

And it claimed the new Smart Price range would ensure it would never be beaten on price by any other retailer for common goods.

The price cuts come on the back of prosperous times for the group and amid claims the store has overtaken Sainsbury's to become Britain's second biggest grocer.

Last week, the Consumers' Association's Which? magazine put the superstore top for value for money and low prices.

Asda's chief operating officer Paul Mason said: "There'll be no let up in our drive to stay Britain's best value superstore."

Only last week, Asda announced it will create a number of new jobs at its Hollingbury superstore in Brighton as part of a £450 million nationwide investment programme.

The supermarket group, which was bought by US giant Wal-Mart in 1999, will build a 10,000 sq. ft. extension to its Hollingbury store under ambitious plans to refurbish a quarter of its stores.

The number of new jobs to be created at Hollingbury are as yet unknown, but Asda expects to create a total of 5,000 new jobs across the UK this year.

The supermarket giant announced last year plans to create 27,000 new jobs by 2005.