3 weeks ago

Aldi and Lidl Face Same Competition Rules as Tesco, Asda

Aldi and Lidl Face Same Competition Rules as Tesco, Asda
Aldi and Lidl Face Same Competition Rules as Tesco, Asda · easterneye.biz

In the United Kingdom, there is a rulebook that stops really big supermarkets from making secret deals that keep other supermarkets away.

This rule was made in 2010, and it helps make sure shoppers have different stores nearby to choose from.

Aldi and Lidl, two popular discount food stores, did not have to follow this rule before because they were smaller.

Now they have grown very big, so the people who look after fair shopping want them to follow the same rules.

Aldi and Lidl say the new rules will not stop them from opening new stores.

They say they will keep bringing cheaper groceries to more towns and communities.

Giving all big supermarkets the same rules helps create a level playing field.

This is good news for shoppers because when stores compete, prices stay lower.

The final decision will be made after everyone has had a chance to share their thoughts.

Key facts

Regulator
Competition and Markets Authority (CMA)
Proposal
Extend the Controlled Land Order to Aldi, Lidl GB and Lidl NI
Rules introduced
2010
Groups currently covered
Asda, Co-op, Marks & Spencer, Morrisons, Sainsbury's, Tesco and Waitrose
Aldi UK market share
10.8% (fourth-largest supermarket)
Lidl UK market share
8.8% (sixth-largest supermarket)
Retailer response
Both Aldi and Lidl say UK expansion plans remain unchanged
Next step
CMA to review responses before deciding whether to formally add Aldi and Lidl

Quotes

Juliette Enser

Executive director of competition enforcement and markets at the CMA

“the proposal was intended to ensure shoppers continue to benefit from a wide choice of supermarkets and competitive prices”
easterneye.biz

Sources

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