Aldi and Lidl Win the Christmas Sales Race as Shoppers Chase Value

Britain’s grocery battleground saw a big shift over the 2025 Christmas trading period, with discount chains Aldi and Lidl capturing their largest-ever share of festive food sales as value-seeking shoppers tightened belts amid ongoing cost pressures.

According to the latest data from Worldpanel by Numerator, Aldi and Lidl together accounted for 16.8 per cent of the UK’s grocery market in the four weeks to 28 December 2025 — up from 16.3 per cent a year earlier. Overall supermarket sales reached £13.8 billion, a 3.8 per cent year-on-year increase, although growth lagged behind the 4.3 per cent rate of grocery inflation.

Lidl stood out as the fastest-growing bricks-and-mortar retailer over the festive period, with particularly strong sales performance, while Aldi continued to press close behind, narrowing the gap on larger rivals.

In contrast, several traditional supermarkets saw a dip in both sales and market share. Asda’s sales declined by 4.2 per cent, taking its market share down to around 11.4 per cent, and the Co-operative also experienced a fall, reflecting heightened competition and shopper migration toward discount formats.

Despite the discounters’ success, the biggest grocery players held strong overall. Tesco maintained the top market position with a 28.7 per cent share, while Sainsbury’s followed with 16.3 per cent, both reporting solid festive performance.

Growth was not limited to value chains: upmarket retailer Waitrose posted a 4.5 per cent increase in sales, and digital specialist Ocado reported around 15 per cent expansion, underlining the continued shift toward online grocery shopping.

Industry analysts attribute these trends to a mix of easing inflationary pressures and savvy consumer behaviour. Shoppers showed strong interest in own-brand premium lines — which featured in more than nine in ten baskets — and made more considered choices to balance cost with quality during the festive season.