By Daniel Hunter

Tesco, the UK's largest supermarket, have joined the battle to win new banking customers by launching their first current account.

Some 17 million customers of Tesco will be offered extra shopping discounts if they open an account. The supermarket is one of four banks offering new current accounts this year.

Benny Higgins, the chief executive of Tesco Bank, told the BBC the account was "very transparent".

"Customers tell us they are very tired of the smoke and mirrors and the need to pay attention to the small print. We are setting out to be very clear and transparent," he added.

Nevertheless, Mr Higgins told the BBC he did not expect a sudden rush of customers.

"I don't think it's likely that it's an impulse buy and that we would have high levels of switching overnight. But I hope, in time, this will become a very good product for very many Tesco customers and beyond."