Lidl plans to open more than 50 new stores in the UK this year as part of a £600 million (approximately $750 million) investment aimed at attracting more shoppers from competitors. The expansion strategy comes as the British arm of the German discount retailer recently surpassed Morrisons to become the UK's fifth-largest grocer.
Lidl GB reported revenue of £13 billion for the year ending February 28, 2026, an increase of 10.8% from the previous year. This growth was partly attributed to the opening of 40 new stores during the period. Operating profits rose by 9.9% to £345 million.
The company sold an additional 486 million products, with notable growth in fresh meat, fruit, and vegetables. Lidl has also focused on increasing its customer base through price reductions and promotions, including its loyalty program, Lidl Plus app. In the past year, Lidl invested £315 million in price cuts and promotions.
This move occurs as traditional supermarkets have been actively implementing their own price reductions over the last two years in response to the growing competition from discounters.
Lidl GB chief executive Ryan McDonnell stated, "Our performance is a clear testament to the trust that millions of customers place in us every week as a direct result of the dedication of our colleagues right across the country. As we grow, our focus doesn't shift - we're constantly investing in low prices, high quality, and maximum value for our customers."
The company claims to have acquired 43 million new shoppers and continues to be recognized as the UK's fastest-growing bricks-and-mortar supermarket. According to industry researchers at Worldpanel, only the online grocer Ocado has achieved higher growth in recent months.
In May, Lidl overtook Morrisons in market share. Market data from Worldpanel indicated that Lidl held 8.7% of the grocery market in the three months leading up to September 6, up from 8.3% a year prior. Lidl's sales in this period reached £3.16 billion, an increase of 8%, outpacing the 0.7% sales growth reported by rival Aldi during the same timeframe. Lidl's market presence has grown significantly, from just 1.4% twenty years ago.