TESCO has said that 1,000 people will be made redundant as part of an overhaul of its UK distribution network.

However, it will also be increasing the staff size at its Middlesbrough centre, where the majority of its general merchandising will be located.

Britain's biggest supermarket chain already has a massive freight and distribution centre at Teesport.

The grocer is set to reduce the number of distribution centres from 25 to 23, closing its Welham Green and Chesterfield sites.

However, the company is expected to create 500 new roles as part of the shake-up.

The changes are expected to be in place by June.

Tesco will be moving the grocery operations from its Welham Green site to an existing distribution site in Reading, where the workforce will be expanded.