A BAKER has vowed a “tooth and nail” fight to ease cost pressures will not derail expansion plans or hurt customers’ pockets.

Greggs says any price increases “will be pennies” as it battles higher expenses.

The Newcastle-headquartered firm also says it remains committed to operating more than 2,000 stores – reiterating a pledge made to The Northern Echo last year – adding it will go back to its roots with an expanded delivery service.

Speaking yesterday, upon the announcement of the company’s latest results, Roger Whiteside, chief executive, said the firm has “more to come.”

The former Marks and Spencer’s food halls boss admitted cost issues, such as rising diary prices and wages could dent its progress, but promised it wouldn’t target customers to make up the difference.

He said: “Higher costs, the National Living Wage and the Apprenticeship Levy; all these things need to be mitigated and will have a modest impact on margins.

“But we will be fighting tooth and nail to continue offering customers outstanding value.

“There is no question we will see some pressures on margins but price movement is very much a last resort.

“If we do it, it will be pennies.”

Mr Whiteside, who has been pivotal in Greggs’ shift from traditional baker to food-on-the-go operator offering porridge, pasta and Mexican-style burritos, also confirmed it was going back to the days of John Gregg, who sold eggs and yeast from his bike to Newcastle families in the 1930s.

Revealing a sandwich and confectionery delivery service, piloted in the North-East, will now target offices workers in London and Manchester, he confirmed it will be amplified by further store openings across the UK, particularly Northern Ireland.

Greggs has more than 1,700 shops and Mr Whiteside previously told the Echo it wanted to open at least 300 more to marry high street successes with achievements at motorway services and retail and business parks.

He said: “In England, Wales and Scotland, we have the market covered and we are expanding into places where you would not have traditionally put a bakery.

“With Northern Ireland, we have a wide canvas and we aren’t going to wait until we have done the high street to do the other areas.”

“We were sufficiently encouraged (by the delivery pilot), so let’s go to the toughest market in the world, London.

“Can we compete against all the other delivery services in London? We will find out.”

According to Greggs’ results, total sales for 2016 were up seven per cent, with Christmas demand for Festive Bakes and mince pies augmented by clamour for its low-calorie Balanced Choice-branded salads and sandwiches.

Mr Whiteside said those goods will be joined by vanilla latte and green and peppermint tea as the firm seeks to latch onto customers’ desire for alternative drinks with snacks.

However, he refrained from the Echo’s questioning over new lines, joking he would have to kill anyone outside the company he knew.

He added: “We are continuing to improve Balanced Choice and breakfast ranges and will be following market trends the best we can.”