A NEW supermarket will open in York next month - further intensifying competition between the city's established retailers for customers' business.

The Food Warehouse is being created out of the former Home Sense store in Foss Islands Road, which shut last year after a decade in business.

It will be situated just across the car park of Morrisons' big store and it will also be just a short distance away from the Waitrose store, situated further along Foss Islands Road.

Signs outside The Food Warehouse say it will open at 8am on July 27.

The store will be the first branch of frozen food giant Iceland's Food Warehouse brand to open in the centre of York, although there is already one at Clifton Moor.

Iceland says The Food Warehouse, which is founded in 2014, is one of the country's fastest growing supermarkets, with thousands of customers having switched to it from other supermarkets in the past 12 months.

The company claims the store offers a 'whole new shopping experience with wide aisles and low fixtures offering all the brands you would expect from a supermarket, plus the brands you wouldn't.'

The opening of the new store in Foss Islands Road is expected to lead to the creation of 40 jobs, ten full-time and 30 part time.

Iceland lodged a planning application with City of York Council earlier this year to make minor alterations to the shop front, including new entrance doors, and a huge amount of conversion work is currently underway to make the shop suitable to operate as a food retailer.

The Foss Islands shopping area is already home to budget retailers B&M and Home Bargains.