Profits at the Co-op have plummeted 50% in the first half, as a company-wide rebrand and investment in its front-line staff took a toll on its financials.

Pre-tax profits dropped by 53% in the six months to July 2nd compared to 2015, but the group insisted that this was "expected and planned" as its three-year turnaround strategy gathers pace. Earlier this year, the group implemented a ‘back to being Co-op’ re-launch including retro branding and improvements to its loyalty scheme.

It was not all doom and gloom in terms of numbers for the group, as overall revenue climbed 2.2% to £4.7 billion in the 26 weeks to July 2nd. This was led by like-for-like food sales, which were up 3.1% and a boost in convenience store sales, which increased 4.3%.

“We are only halfway through the rebuild and much remains to be done, whether it is investing in our digital capability or campaigning on key issues,” chief executive Richard Pennycook said. “We remain firmly on track with our plans and are encouraged that the work we are doing is attracting more and more people back to the Co-op.”

Mr Pennycook himself requested a 60% salary cut earlier this year as the business emerged from its tough 2013/2014 period.