Aldi to pour £900m into 40 new UK stores amid rising food-price pressures

Aldi will invest £900 million in the United Kingdom next year, building 40 additional stores and modernising its distribution network as part of a broader push to reach up to 1,500 locations. The move follows a record-breaking £19 billion turnover in 2025, driven by a £340 million strategy to lower prices on staples such as butter, meat and frozen fish. CEO Giles Hurley linked the expansion to mounting household pressures from soaring shipping costs tied to the Iran war, recent droughts and the threat of a “super” El-Niño event.

While operating profit remained flat at £433 million, the grocery chain’s gross margin slipped to 2.3 percent due to investments in pricing, infrastructure and staff pay. Aldi also increased hourly wages for shop-floor staff to £13.50 across the UK and £14.88 in London. The retailer holds about a 10.6 percent share of the UK grocery market, a slight decline from the previous year, and continues to outpace rivals such as Tesco, Sainsbury’s and Asda in price competition.