Tesco, Britain's largest supermarket, today defeated a proposal from Hugh Fearnley-Whittingstall, the celebrity chef, to invest in improving living conditions for the chickens it sells in its stores.

Only 9.88 per cent of Tesco shareholders who voted by proxy backed the chef, with the overall majority supporting the company's staunch defence of its poultry welfare standards.

Mr Fearnley-Whittingstall had called on shareholders at today's Annual General Meeting (AGM) to vote through a resolution to improve welfare standards for chickens, alleging that the company breaches the "Five Freedoms" concept proposed by the Farm Animal Welfare Council.

These include: Freedom from hunger and thirst; freedom from discomfort, freedom from pain, injury and disease, freedom to express normal behaviour and freedom from fear and distress.

Despite failing to get his resolution passed, Mr Fearnley-Whittingstall said: "I'm delighted. I said this morning that it we achieved 10 per cent that would be something that Tesco could not ignore, that's pretty much what we have done."

"9.88 per cent is a significant showing, remember how difficult Tesco made this. they were saying don't vote for the resolution it will de-stablilise the company."

Tesco had strongly defending itself against the claims, stating it is "totally committed to poultry welfare", and meets farm assurance standards. It also said that if it implemented the changes that Mr Fearnley-Whittingstall has proposed, it would add £1 to the cost of a chicken.

Margaret Wright of Solihull, who attended today's AGM, said: "I think Tesco has improved their requirement for chickens' needs.

"They are not up to Waitrose's standard but I really think we need a supplier of cheap meat in the UK. Waitrose is a lovely supermarket but it is expensive."

Tesco faced a storm of protests at today's AGM, including the American United Food and Commercial Workers' Union (UFCW) which is complaining about working standards at Tesco's US chain Fresh & Easy.

This week Barack Obama wrote to a second letter to Tesco, this time to Sir Terry Leahy, its chief executive, urging him to engage with unions.

Also, War on Want, the charity, this week accused Tesco of using slave labour after an investigation found that an Indian textile factory the UK company sources goods from pays staff just 16p an hour.

War on Want, the charity group, alleges Tesco buys clothes from a Bangalore factory where workers can earn less than £7 a week.

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