UK Supermarkets See Sales Surge Amidst Rising Inflation

Major UK supermarkets like Tesco, Sainsbury's, and Lidl recorded sales growth over the Christmas period, despite price inflation reaching 3.7%. Tesco increased its market share to 28.5%, while Ocado and Marks & Spencer's food and drink division also showed notable performance. Analysts warn of potential inflation in 2025.

Britain's leading supermarkets, including Tesco, Sainsbury's, and Lidl, reported a solid performance during the Christmas season, with sales growth rates of 5.0%, 3.5%, and 6.6%, respectively, as per recent industry data.

Despite a 5.8% drop in sales for Asda, Tesco's market share surged to 28.5%, with Sainsbury's capturing its largest share since December 2019 at 16.0%. However, grocery price inflation climbed to 3.7%, the peak since March, escalating from 2.6% the previous month.

Kantar revealed that UK supermarket sales totaled 13 billion pounds in the four weeks up to December 29, rising 2.1% year-on-year. Marks & Spencer's food sector grew by 8.7%, surpassing discounter Lidl's 6.6% improvement, while Ocado led with a 9.6% sales increase.

(With inputs from agencies.)