Supermarket giants welcome crackdown on Aldi and Lidl

Supermarket chains, such as Waitrose, Morrisons, and Iceland, have expressed satisfaction with the Competition and Markets Authority's (CMA) decision to extend the Controlled Land Order to include discounters Aldi and Lidl. The two German retailers had previously been excluded from the rules due to their classification as "limited assortment discounters." However, the CMA has now categorised the two firms as "large grocery retailers" due to their rapid expansion in recent years.

Iceland welcomed the CMA's provisional decision in a letter to the regulator, stating that existing rules allowed Aldi and Lidl to use problematic land arrangements that could have a significant impact on competition in the UK grocery market. The two chains had previously claimed they should not be classified as large grocery retailers because they offered fewer products than their rivals.

However, Morrisons, Waitrose, and Iceland have each raised concerns with the CMA, citing plans for Aldi and Lidl to expand further in the UK and potentially restrict the ability of other retailers to open new stores.

The CMA's executive director for competition enforcement, Juliette Enser, emphasized that the new rules would help level the playing field and ensure shoppers have the best choice of products and prices in their area. Both Aldi and Lidl have responded to the CMA's provisional decision, reaffirming their commitment to expanding rapidly in the UK and continuing to bring their products to more communities.