Mayor Boris Johnson is providing £300,000 to help reduce the food waste in the capital.
London boroughs can apply for a share of the fund to set up the so-called ‘social supermarkets’, which will sell food cheaply to local people struggling with food poverty.
The food is thrown away by retailers despite being in date, for reasons such as wrongly weighed or incorrectly packaged.
The announcement follows Mr Johnson’s previous scheme ‘FOODSAVE’ which helped businesses save more than £550,000 and divert around 1,000 tonnes of food waste from landfill.
The Mayor said: “I want to see more innovative schemes on our high streets that tackle food waste, help communities and offer access to a variety of good standard cheaper food.
“It’s important we continue to reduce London’s landfill and ensure quality edible food is not discarded.”