UK roundup: Technology, financing, and expansion shaping strategic growth

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 begins trials of Tally stock-checking robots 

• Morrisons in talks over £600m property-backed financing deal 

• Parfetts sustains record of out-performance in 2026 

• Asda links Asda rewards and fuel purchases 

• Morrisons utilising Myton Food Group to develop world food ranges 

• Waitrose opens one new store and reopens two refurbished stores.

Tesco begins trials of Tally stock-checking robots  

Tesco has started a trial of Simbe Robotic’s Tally robot at its Ware hypermarket. As reported by The Grocer, Ware is the first of a small number of stores that will trial the AI-powered aisle roaming robots. Tally robots have a runtime of up to 12 hours, independently navigating aisles to scan product placement, availability and prices before self-docking at charging ports. Commenting on the robots, Tesco said their use would help spot gaps on shelves, boosting product availability. Simbe claims its Tally robots typically detect 10 times more out-of-stocks compared to manual audits. The news follows the introduction last month of ICE autonomous cleaning robots to 600 Tesco Express stores.  

Senior Insight Analyst, Alex Rowberry’s view:

Tesco's interest in Tally reflects a growing focus on using automation to drive growth from existing assets. With grocery volume growth still hard to come by, reducing out-of-stocks offers one of the clearest opportunities to increase sales without needing to attract additional shoppers. If Tally delivers anything close to the improvements claimed by Simbe, the commercial impact could be significant. The technology may also improve staff productivity by automating routine shelf audits, supporting Tesco's longer-term ambition to operate more efficiently while continuing to grow market share.

Morrisons in talks over £600m property-backed financing deal 

Morrisons is rumoured to be in talks with several parties, including US property investor Realty Income, over raising £600m in a property-backed financing deal. Discussions are underway about financing secured against Morrisons supermarket estate, rather than a conventional sale-and-leaseback agreement. It is likely money raised by the deal would be invested in pricing and store upgrades; areas where Morrisons has been restrained due to its heavy debt burden. 

Senior Insight Analyst, Alex Rowberry’s view:

The reported financing deal would give Morrisons greater flexibility to invest in its proposition without reducing its ownership of key property assets. If completed, the additional funding could help the retailer accelerate price investment and store upgrades, supporting its efforts to improve competitiveness and drive market share growth in a challenging grocery market.

Parfetts sustains record of out-performance in 2026

North-west based retail-focused wholesaler, Parfetts has announced annual sales of £807m for its latest full year to June 2026, up a market-leading 10.6% on 2025.  Building on the opening of its first southern depot at Southampton in September 2025, its ninth overall, Parfetts has successfully continued to extend its trading reach into new territories.  Key to this has been ongoing investment in its fast-growing symbol store estate which now includes a portfolio of four fascias: Go Local, Go Local Extra, Shop & Go (for forecourt sites) and The Local (for off licences).  Total store numbers are now approaching 2,000 with sites extending in Scotland and the south-east of England for the first time in 2026. 

Insight Partner, Patrick Mitchell-Fox’s view:

Against a background in which many wholesalers to the retail channel are struggling for positive growth, Parfetts’ ongoing record of market-leading performance over the last decade is remarkable; with turnover more than doubling over the period, representing a compound annual growth rate of over 10% for the 10 years. Its success clearly suggests that independent retailers can be readily attracted to its new proposition in the areas which it is now able to access through its new trading sites and the extension of its delivery service. Parfetts now believes its sales can top £1 billion in next three years.

Asda links Asda Rewards and fuel purchases 

Asda is linking fuel purchases at its forecourts to its Asda Rewards loyalty scheme. Running until 7 August, shoppers at 321 participating stores who spend £40 or more in a single transaction will be eligible for 5p off every litre of fuel purchased. The retailer said shoppers filling a typical 60-litre family car could save up to £3 on a single fill-up. Asda plans to extend the offer beyond the initial 321 participating stores and expand fuel rewards beyond August. The retailer has been trialling different approaches to develop its loyalty scheme in recent months, including money off coupons on specific categories and giving away 10,000 free concert tickets.  

Senior Insight Analyst, Alex Rowberry’s view:

While rivals have spent years strengthening their loyalty propositions and building first-party data assets that support both customer retention and retail media growth, participation in Asda Rewards fell from 56% to 48% in 2025 as retailer struggled to make the scheme relevant to shoppers. Asda’s recent initiatives suggest it is actively searching for ways to re-engage shoppers but also raise questions about whether a longer-term loyalty strategy has yet been fully defined.

Morrisons utilising Myton Food Group to develop world food ranges 

Morrisons inhouse food manufacturing business, Myton Food Group, has launched an international sourcing division, Myton International. As reported by The Grocer, the launch is aimed at boosting revenue at the retailer by working with overseas brands to produce and launch their products into UK retail, foodservice and business-to-business channels. The retailer said Myton International will partner with international brands to provide bespoke sourcing solutions that balance innovation and value with uncompromising quality.  

Senior Insight Analyst, Alex Rowberry’s view:

The launch of Myton International highlights Morrisons’ focus on generating additional value from its manufacturing capabilities. Following reports that Myton Food Group could also produce products for rival retailers, the move signals a broader strategy to create new revenue streams from existing assets. This additional income could help fund investment in price, stores and the wider customer proposition as Morrisons looks to strengthen its market position. 

Waitrose opens one new store and reopens two refurbished stores

Waitrose has opened a new store in Chelmsford as part of its £1bn expansion plan across the UK. The 7,000 sq ft store features an offering of over 6,500 products, ensuring a wide selection for shoppers and ensuring the retailer maintains its consistency with availability across stores. The new store comes alongside the reopening of two other Waitrose stores that have been refurbished over the past few months, both of which are in London. The refurbished stores, one in Islington and one in East Sheen, feature additions and upgrades to the stores, such as upgraded counters, energy efficient refrigeration, electronic shelf labels, and dry-aged beef cabinets.  

Analyst, Seth Russell‘s view:

The opening of the new Waitrose store in Chelmsford, alongside the reopening of two stores in London, present the commitment the retailer has to its expansion plans. These stores include features typically associated with Waitrose and modernised formats to boost the efficiencies of its physical store estate. These features continue the theme of experienced based shopping and customer-centric formats. The stores improve the retailer's footprint and modernisation and ensure it remains competitive with rival stores in the area while remaining true to its ‘Home of Food Lovers’ strategic pillar. The retailer remains on track to open four new stores, as well as refurbishing 28 stores this year.