Key facts
- Lidl saw increased profit and revenue last year, driven by 43 million new shoppers and its loyalty pricing scheme.
- Aldi UK CEO Giles Hurley criticized rival loyalty programs for starting with "unrealistically high prices".
- Aldi's UK and Ireland sales reached a record £19 billion in 2025, a 5% increase.
- Aldi's operating profit for 2025 was £432.9 million, a slight decrease from the previous year.
- A UK regulator found that 92% of loyalty-priced products at major supermarkets offered genuine savings.
- Aldi plans to invest £900 million in its UK business by 2027, including opening 40 new stores.
Lidl has reported growth in profit and revenue for the past year, attributing its success to attracting an additional 43 million shoppers and its continued focus on a loyalty pricing scheme. This comes as Aldi's UK chief executive, Giles Hurley, has publicly criticized rival supermarkets for "duping" customers with loyalty discounts that he claims start from "unrealistically high prices."
Aldi, which remains the only major UK supermarket without a loyalty program, advocates for promotions that offer genuine savings rather than creating the illusion of a larger discount. Hurley stated that while promotions can supplement everyday low prices, they must be meaningful and transparent.
However, an investigation by the UK's Competition and Markets Authority (CMA) into loyalty pricing across several major UK supermarkets found little evidence of inflated standard prices. The CMA analyzed around 50,000 loyalty-priced products and concluded that 92% offered a genuine saving, with shoppers typically saving between 17% and 25%. The watchdog did advise consumers to continue comparing prices between different grocers.
Aldi reported its group sales across the UK and Ireland rose 5% to a record £19 billion in 2025. Operating profit, however, edged down to £432.9 million as the company absorbed higher wage bills and invested in prices, stores, and infrastructure. Aldi's market share in the UK stood at 10.6% in September, though its sales growth has recently lagged the wider grocery market, facing increased competition from both traditional supermarkets and Lidl, which has posted faster growth.
Retail consultant Ged Futter described Hurley's criticism as a "distraction" from the competitive pressure Aldi faces in the UK. Despite the earnings dip, Aldi is planning a significant investment of £900 million in its UK business by 2027, which will fund 40 new supermarkets and expand its distribution network, aiming for a long-term target of 1,500 UK stores.