Particle.news
Download on the App Store

Tesco Tightens Lead After Festive Sales Beat as Asda Cuts Prices and Discounters Gain

Price competition intensifies across UK grocery after mixed festive results.

Overview

  • Tesco reported 3.3% like-for-like growth in the six weeks to January 3 and said profits should land at the top of its £2.9–£3.1 billion guidance as UK market share hit 29.4% in the Christmas month.
  • Britain’s largest grocer logged its busiest-ever days on December 22–23 and an 11%+ rise in online sales after using AI tools to expand delivery capacity.
  • Asda’s market share fell to a record low 11.4% in the 12 weeks to December 28 with sales down 4.2%, prompting a strengthened Asda Price Promise that undercuts rivals’ loyalty-card prices on more than 2,300 items.
  • Sainsbury’s saw strong festive grocery trade but weaker non-food, with Argos sales down and overall like-for-like sales up 3.4% for the 16-week quarter, while it maintained guidance of more than £1 billion in retail profit.
  • Which? named Aldi the UK’s cheapest supermarket for 2025 as discounters extended momentum, with Lidl reporting a record Christmas and both chains highlighting continued shopper focus on value.