TESCO intends to open another new store in York city centre.

The supermarket chain recently opened a Tesco Express shop in Low Ousegate but has now submitted a licensing application for premises in Piccadilly.

The site is currently occupied by a British Heart Foundation furniture and electrical store.

Despite there already being another Tesco Express five minutes’ walk away, the company said a store in Piccadilly would be a good investment.

Tesco’s Matt Magee said: “Essentially, the Low Ousegate store will pick up trade from town centre shoppers whereas, even though it’s not far away, there are more flats and houses around Piccadilly so there is more of a residential population for the store rather than feeding off town centre trade.”

Mr Magee said that as yet there was no timescale on when the store would open as the British Heart Foundation’s lease has to run its course and the building’s owner also wanted to make improvements.

But he said that as a rough guide he hoped the supermarket would be open for business in the second half of next year and would employ about 15 people in a mixture of full and part-time jobs.

No planning application has yet been submitted but Mr Magee said permission may only been needed for signage and a cash machine as the site is already operating as a shop.

In a statement, the British Heart Foundation said it was “disappointed” to be moving out of the premises but it could not compete with big businesses.

Chris Hull, operations manager for the charity’s furniture and electrical stores, said: “At the British Heart Foundation we are aware that Tesco will be taking over the site of our furniture and electrical store located at 34 Piccadilly, York, in the next year. “We have had a successful two years of trading since we opened our doors in 2008, thanks to the support and donations from the local community, and are disappointed to be losing the site.

“We are, however, competing with commercial rivals for sites such as this, and in this case unfortunately we have not been able to match the rent that Tesco are able to pay.”

He said the charity was already looking for a suitable alternative site to relocate the store.