'The Lidl Effect' Celebrates 1000th Store Milestone

Lidl GB has published its first ever socioeconomic impact report which reveals that it generated £14.5bn in Gross Value Added (GVA) through its operations and supply chain in the financial year 2024 alone. As fastest growing bricks and mortar grocer for over two years running Lidl offers more value for people and is taking its suppliers, customers and colleagues on its journey to bring value to all.

Coined as ‘the Lidl Effect’, the economic benefits driven by Lidl via its operations, investments and employment extend far beyond the basket. For example, Lidl is a significant taxpayer and in FY24 paid over £1 billion in tax which contributes towards public services such as the NHS, education, transport and state pensions. The report also highlights that for every £1 of direct value created by Lidl GB, its British suppliers generate an additional £7, with a further £2 added across the wider value chain.

As part of its commitment to Backing British, Lidl invested £5.8bn in British food in FY24, with over two-thirds of the discounters’ products sourced from British suppliers. In this way, Lidl helps its suppliers to grow in order to build long-term and sustainable relationships. Through its direct operations and wider supply network, Lidl also supports 281,813 jobs both directly and indirectly in Britain from farm to factory. Underscoring the vital role Lidl plays in driving economic development in Britain.

Reaching households from Dingwall in the highlands of Scotland to Penzance in Cornwall, Lidl stores across the country represent the positive impact the discounter delivers to communities. Every store and warehouse is linked to local charities to provide greater access to affordable, high-quality food through its surplus food donations, activated through charity partners including Neighbourly. 11% of UK households experience food poverty and the donations made through Lidl in 2024 provided 18.5 million meals, supporting 6.8 million people in need.

Ryan McDonnell, CEO of Lidl GB, said:

“We’re incredibly proud of the socio-economic impact that our operations bring to communities in Great Britain. Given that we’re on track to open hundreds more stores across the country, we’re encouraged by the numbers reflected in this report because they demonstrate our tangible contribution to the British economy as a whole."

"Cutting the ribbon on our 1,000th store is a milestone moment for us as we celebrate not just another new Lidl, but the meaningful impact it will have. We know there are still many communities which could benefit from the Lidl Effect so we remain laser focused on delivering that through our ambitious growth plans.”

Business Secretary, Peter Kyle said:

"It’s brilliant to see a retailer like Lidl thriving in the UK, opening new stores, supporting a quarter of a million jobs and delivering billions for our economy. This milestone shows the confidence businesses have in our plan for growth, and I’m excited to see more opportunities like this open up in communities across the country."

Since opening its first store in Great Britain in 1994, Lidl has been going from strength to strength – now reaching over 60% of British households and employing over 35,000 colleagues. Its teams are the backbone to its success and competitive pay is central to the discounter’s commitment. For example, during FY24, this resulted in pay awards totalling £392million above the UK Living Wage benchmark.

The inaugural report comes as Lidl marks the opening of its 1,000th store in GB at East Grinstead, not only celebrating another new Lidl, but the socioeconomic impact it will make. The discounter shows no signs of slowing as Lidl invested £478million in the development of new stores and distribution centres in 2024, and renewing that investment, with £500million planned for its expansion plans this year.

Looking to the future, the discounter is continuing to expand at pace and is committed to bringing suppliers and the next generation along in its journey, thereby creating genuine added value. Over the next five years, Lidl intends to double its original sourcing investment into British suppliers, to the value of £30bn. Plus, through its nationwide schools’ programme Lidl Foodies, over 250,000 primary school children will learn the importance of healthy, sustainable eating. Now in its second year, the initiative represents an investment of £650,000 over two years.