Tesco Mobile has announced the launch of an "inflation-busting" pay-as-you-go tariff, offering half-price calls and texts to five favourite friends.

Apparently, existing Tesco Mobile customers make 80% of their calls to five numbers, so this means that they will pay 10p per minute for most of their calls, and 5p for most of the texts they send. Other calls will cost 20p per minute and texts will be 10p each.

The new tariff replaces all four of the company's existing call plans, "in a bid to make life simpler for customers". However, existing customers can choose to remain on their current tariff if they wish.

As an additional bonus, customers topping up by £15 or more in any month will receive 150 free minutes or 500 free texts and customers will earn Clubcard points on top-ups too.