According to a recent report the supermarket retail giant Tesco could end up breaking into the mortgage market as early as 2010, which would mean that consumers will enjoy more choice and will be able to consider a mortgage from a household name that is trusted by many people.

Bennie Higgins, the Chief Executive of Tesco Bank, said that he wants to launch the mortgage from the supermarket giant by the end of next year.

Tesco has been stating for some time that it intends to transform its financial services division into a full service bank that offers mortgages and current accounts, and customers could find themselves able to get their hands on a Tesco mortgage as early as next year.

The supermarket serves more than fifteen million households across the UK, and is already a trusted household name across the country, putting it in good stead for success in the mortgage business.

Higgins said that he thought the future of the supermarket lay in the provision of new products such as mortgages and current accounts to existing Tesco customers, stating that the intention was to provide loyal Tesco customers with products that were simple, straightforward, and transparent. He added that in addition to launching Tesco mortgages next year he wanted to bring in Tesco current accounts in 2011.

Mr Higgins stated: “The strategy is to focus on loyal Tesco customers and serve them well with simple, straightforward, transparent products. We already have more than six million customers with around 8 per cent of the UK credit card market. We now want to bring in more products. I will be looking to launch mortgages by the end of next year and current accounts in 2011.”

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