See the source image

The share price of both Marks & Spencer and Ocado jumped on Monday following reports the two were in talks regarding the launch of an M&S food delivery service.

The online grocery market was worth £11.4bn in 2018 and could hit £17.3bn by 2023, but while M&S has an online presence, mainly for clothes, it doesn’t offer a full food delivery service. Meanwhile, Ocado currently has a supply and delivery contract with Waitrose, which runs until 2020. Reports suggest M&S is now in talks to replace Waitrose when the contact ends.

Shares in M&S climbed almost 3% and Ocado, the top performing UK share in 2018, gained more than 6% on the news.