Tesco has agreed to stop selling Tyrrells crisps after the brand owner threatened to sue it, according to reports.

Will Chase, the founder of Tyrrells, accused the retailer of selling the crisps even though he had asked it not to. He threatened legal action if Tesco did not withdraw the product.

A spokeswoman for Tesco, which had reportedly sourced the product from a wholesaler, said: “If Tyrrells do not want to sell to Tesco, we will of course respect that. In fact we are focusing on finding ways of working with small suppliers to bring new local products to our customers.”

Last Friday Tesco announced it was to open six devolved buying offices across England and Wales with a view to sourcing more local produce.