UK roundup: results, price cuts & store investment

In this instalment, our UK analysts offer their take on some of the market’s latest developments and initiatives. Here’s what you need to know about:

• Tesco’s market share grows following strong first half results

• Tesco hits 1,000 electric vans milestone

• Asda invests in ESLs and further price cuts

• Lidl to invest £250m in prices

• Waitrose announces multi-million pound investment in London

Tesco’s market share grows following strong first half results

Tesco reported total group sales increased 5.1% in the first half of its 2025/26 financial year. Reporting on the 26 weeks to 23 August 2025, sales in its UK business grew 5.6% resulting in its share of the market, as measured by Numerator, reaching 28.4%. Sales in the Republic of Ireland grew 6.4%, in Booker by 2.4%, and in Central Europe by 4.4%.

Senior Insight Analyst, Alex Rowberry‘s view: Tesco’s ambition is to grow its UK market share to 30%. With two of the UK’s leading full-line retailers, Asda and Morrisons, either declining or growing behind the market, Tesco’s latest results, continuing to outperform the market, suggest it will see continued share gains.

Tesco hits 1,000 electric vans milestone

Tesco has deployed its 1,000^th electric home delivery van, operating from its Cardiff Extra store, making it the third store in Wales with a fully electric fleet. The store’s 20 vans, powered by clean energy, will make nearly 5,000 weekly deliveries. Tesco plans to further expand its electric fleet to 1,250 vans and install EV charging at 100 stores by Spring 2026. These efforts support the retailer’s broader goal to fully electrify home delivery operations by 2030, which would be equivalent to taking 22,000 cars off the road annually.

Supply Chain Analyst, Soline Duriez’s view: Tesco’s 1,000^th electric van milestone marks a significant step in decarbonising last-mile delivery. Beyond cutting emissions, it reflects growing operational maturity in managing EV fleets – from route planning to depot charging. It’s a clear example of how retailers can scale sustainability without compromising efficiency.

Asda invests in ESLs and further price cuts

Asda will install electronic shelf edge labels in 250 of its busiest Asda Express convenience stores. The move follows a successful trial at its Asda Express store in Oxford Road, Manchester. The labels, supplied by VusionGroup, Renovotec and HL Display will simplify store operations by removing the need for staff to manually change price information. In total, 700,000 ESLs will be added to the selected stores, with Asda saying each of the 20 new Express stores opening over the next month will also use ESLs, adding a further 56,000 to the total.

In separate news, Asda has cut the prices of 956 everyday grocery products, including items in its ‘Free From’ range. The price cuts are in addition to the current round of Rollback price cuts, with Asda saying it wanted to help shoppers as they head into the most expensive time of the year.

Senior Insight Analyst, Alex Rowberry‘s view: Asda is not the first retailer to turn to ESLs to deliver improved efficiencies. As the convenience channel returns to prominence in its growth plans, Asda look set to maximise the profitability of one of the few areas of its business to see like-for-like growth in its third-quarter results. Freeing staff from changing price information should enable a greater focus on ensuing product availability improves, a key strategic focus for Asda.

Lidl to invest £250m in prices

Lidl has announced plans to invest £250m in reducing the prices of everyday items for the remainder of the year. It has already reduced the prices on over 1,000 products in its regular assortment in 2025.

Senior Insight Analyst, Dan Butler’s view: the discounter will have one eye on the important Christmas period coming up, with it aiming to win greater share of shopper’s increased spending. The move will put pressure on other retailers to respond with price cuts of their own, as Lidl continues to push its healthy, affordable food agenda.

 Waitrose announces multi-million pound investment in London

Waitrose is investing millions in its London physical retail estate, part of its wider £1 billion nationwide programme. This effort to strengthen its capital presence began with a new 2,500 sq ft Little Waitrose convenience shop opening in Wandsworth New Acres. Following recent refurbishments in Marylebone and Clerkenwell, the plan includes upgrading branches in Coulsdon, Crouch End and Old Brompton Road by year-end, with more set for 2026. Overall Waitrose currently operates 62 London shops.

IGD Insight Manager, Sneha Haria’s view: Waitrose's strategic injection in London is a shrewd move, showing confidence in premium physical retail. By focusing on new small-format shops and high-spec refurbishments, the grocer is battling direct competition from rivals like M&S and Sainsbury’s Local, who are also renovating and opening new stores. The fight for market share in the capital is also escalating as Asda recently announced 10 new stores in the city. You can read more about Waitrose’s refurbished stores in our latest report, The Waitrose upgrade: building for tomorrow.

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