Aldi loses cheapest supermarket: Lidl is now the cheapest supermarket in the UK but there's a catch

The cheapest supermarket in the UK is no longer Aldi. After two years, the budget chain has lost its crown to its closest competitor.

As food prices continue to soar, a new name has emerged as the cheapest supermarket in the UK, according to the latest figures, but not for everyone.

Lidl came out on top but only just, and the biggest boost comes for shoppers who use its reward scheme Lidl Plus. Aldi comes in next followed by Asda, Tesco for Clubcard users, Sainsbury’s for Nectar card users, then Tesco followed by Morrisons for More card users.

The clear benefits of making the most of loyalty cards shown through more than ever in the findings.

Aldi is one of the few supermarkets which does not offer a loyalty card. The findings marks the first time since October 2023 that Aldi hasn’t taken the top spot in the monthly price tracker by Which?

The new rankings come at a time when shoppers are being hit with rising food bills once again. Annual grocery inflation climbed to 5.2% in July, the highest rate since January, driven by price rises on fresh meat, chocolate, and spreads.

The UK’s cheapest supermarket revealed

For smaller, everyday shops, Lidl holds a clear victory:

SupermarketAvg. price for 76 items
Lidl (with Plus)£128.00
Lidl£128.40
Aldi£129.25
Asda£139.53
Tesco (with Clubcard)£141.92
Sainsbury's (with Nectar)£144.21
Tesco£145.10
Morrisons (with More)£146.91
Morrisons£147.84
Sainsbury's£149.55
Ocado£159.20
Waitrose£170.91

But for a larger shop of 192 items, including more branded products, Asda took the crown for the seventh consecutive month. Lidl and Aldi weren’t included in this comparison as they didn’t stock enough of the branded items.

SupermarketAvg. price for 192 items
Asda£474.12
Tesco (with Clubcard)£481.59
Sainsbury’s (with Nectar)£490.64
Morrisons (with More)£491.87
Morrisons£502.24
Tesco£513.79
Ocado£521.72
Sainsbury’s£525.98
Waitrose£538.33

For bigger shops, Asda continues to dominate, while Waitrose remains firmly at the other end of the scale, costing £42 more than Lidl on the smaller basket, and £64 more than Asda on the larger one.

Are loyalty cards worth it?

One of the clearest trends in supermarket pricing is the increasing role of loyalty schemes in shaping what you pay at the till.

Without a loyalty card, some supermarkets become significantly more expensive. For example, shopping at Tesco without Clubcard discounts added £32.20 to the total.

Across the eight major supermarkets analysed, loyalty card holders consistently paid less:

  • Tesco Clubcard users saved an average of 2.2% on the smaller shop and 6.3% on the larger one.
  • Sainsbury’s Nectar shoppers saved even more – 3.6% on the small shop and 6.7% on the big one.
  • Morrisons More users saw modest discounts (0.6% and 2.1%, respectively).
  • Lidl Plus only shaved off 0.3%, but that was still enough to push it ahead of Aldi.

But the discounts are not accessible to everyone. Millions of people are locked out of loyalty pricing due to age restrictions, lack of digital access, or not having a fixed address.

Which? has warned that while loyalty pricing can offer genuine value, more needs to be done to ensure everyone can benefit, including those without smartphones or those unaware of how to access digital promotions.

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