Lidl Becomes UK’s Fifth Largest Supermarket in Food & Drink Sales

German discount giant Lidl has surpassed Morrisons to become the fifth-largest supermarket in the UK in terms of food and drink revenues, according to unpublished Worldpanel data shared with The Grocer

Over the 52 weeks to 13 July 2025, Lidl’s market share of food and drink climbed to 7.7%, overtaking Morrisons which recorded a 7.6% share.Lidl achieved this despite being behind Morrisons in broader market share figures. Its underlying sales grew strongly by 10.1%, while Morrisons saw a modest 1.5% uplift in the same period.

This milestone reflects a longer-term trend. Sector data from the summer shows Lidl achieving a record 8.3% overall grocery market share in the three months to mid?July—up from 7.8% a year earlier and bringing it within touching distance of Morrisons’ 8.4% share.That growth was buoyed by more than half a million new customers joining Lidl’s roughly 960-store network to benefit from its discount pricing amid rising grocery inflation.

Industry observers attribute Lidl’s surge to the increasing price sensitivity of UK shoppers—especially as grocery inflation remains elevated (4.1% in May, the highest in 15 months), leading consumers to seek value and promotions where possible.

Meanwhile, traditional supermarkets like Tesco, Sainsbury’s, and Asda have seen slower growth. Morrisons’ food and drink performance in particular remains relatively stagnant, underscoring the discounter’s headway in shifting market dynamics across the grocery retail sector.

Lidl’s performance signals a broader retail shift, with discount grocers steadily eroding the market share once dominated by the UK’s “Big Four” supermarkets. Its ascent in food and drink revenues marks a turning point—and reflects the rapidly evolving shopping habits of British consumers.