Sainsbury’s has drafted in consultants from McKinsey to help the grocer cut its staff numbers by 1,000, as part of its thee-year plan to save £500 million.

According to The Telegraph, Sainsbury’s is reducing head office jobs, as oppose to shop floor employees. Aside from store staff, the grocer employs 3,000 people at its central London HQ, as well as staff at an HR centre in Manchester, IT staff in Coventry and banking employees in Edinburgh.

The total number of job losses is expected to be announced next month.

Sainsbury’s said the changes are necessary to avoid price rises to compensate losses following the fall in the value of the pound.

Two years ago, 800 people lost their jobs at the grocer as part of the £500 million cost-saving target.

While rival grocers have also culled jobs to stay ahead in an increasingly competitive market, Amazon has been creating thousands of jobs across its business, taking its total UK workforce to over 24,000.

Amazon is keen to push its grocery offer since launching Amazon Fresh in the UK last summer, and thousands of those full-time roles will be within fulfilment, logistics and warehousing to support its food business.

The e-tail giant also snapped up Whole Foods for $13.7 billion last month, in a bid to gain a brick and mortar foothold within the food industry.