The Competition and Markets Authority (CMA) has provisionally decided that Aldi, Lidl GB, and Lidl NI should be subject to the Groceries Market Investigation (Controlled Land) Order 2010. This order, which already applies to the UK's biggest supermarket chains, is designed to prevent 'Large Grocery Retailers' (LGRs) from using land agreements, such as restrictive covenants and exclusivity arrangements, to make it harder for rival supermarkets to open nearby.
The CMA's provisional findings state that Aldi and Lidl no longer qualify as 'limited assortment discounters' (LADs). Instead, they are now considered LGRs due to their store footprint and geographic coverage, full range of groceries, and procurement model.
Juliette Enser, Executive Director of Competition Enforcement and Markets at the CMA, stated that the aim is to ensure shoppers have the best choice of supermarket and range of prices. The CMA is currently seeking views on these provisional findings before making a final decision.