LIDL is due to overtake Morrisons as Britain’s fifth biggest supermarket — as shoppers turn to cheaper food to offset higher costs.
The latest data shows that the discount option makes up 8.3 per cent of the grocery market against Morrisons’ 8.4 per cent, analysts Worldpanel revealed yesterday.
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And Lidl increased its sales by 10.7 per cent in the three months to August — more than ten times that at Morrisons, whose sales rose by just 0.9 per cent in the same period.
The German retailer is now the fastest-growing supermarket in the UK, alongside Ocado.
Meanwhile, at Asda, sales were down 2.6 per cent on a year ago, and the Co-Op’s fell by 3.2 per cent.
Recent data also brought good news for shoppers as supermarket inflation fell slightly in August, down to five per cent.
But Fraser McKevitt, Worldpanel’s head of retail and consumer insight, warned: “We’re still well past the point at which price rises really start to bite and consumers are continuing to adapt their behaviour to make ends meet.”
He said cost pressures were continuing to hit the High Street, noting a decline in eating out in casual restaurants lately.
But shoppers still appear to want their treats, with branded groceries seeing more sales growth this month than cheaper own-label options.
COVID BOOSTER
THE economy recovered from the pandemic better than thought, the Office for National Statistics (ONS) has said.
Revised data, based on how gross domestic product is calculated, showed the economy was 2.2 per cent larger at the end of 2023 than its peak shortly before Covid. It had been reported at 1.9 per cent.
The ONS added: “The long-term pattern of growth is broadly unchanged.”
QUEEN’S COINS
THE final coins featuring Queen Elizabeth II’s portrait are to enter circulation from today, The Royal Mint has announced.
More than 30million new £1 coins will be released this week, including more than 23million featuring the late Queen.
The release also includes 170,000 £1 coins bearing the official portrait of King Charles III.
Royal Mint director Rebecca Morgan said: “This represents a pivotal moment.”
THE HEAT’S TURNING UP
MILLIONS will see their energy bills rise to £1,737 in October when the price cap rises by one per cent, industry analysts predict.
An annual rise of £17 has been predicted by Cornwall Insight ahead of Ofgem’s official confirmation next Wednesday.
The latest forecast reverses the consultants’ previous forecast in July that bills would instead drop by one per cent due to easing tensions in the Middle East.
It said its forecast reflected changes to schemes like the expansion of the Warm Home Discount which gives struggling homes a £150 grant towards their bill.
