Tesco Ousts Asda as UK’s Cheapest Supermarket

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In a recent study by Which?, Asda, previously known as Britain’s most affordable major supermarket, has been dethroned by its long-time rival Tesco. The comparison involved 228 popular grocery items, with Tesco emerging as the cheaper option at £588.96 for shoppers using its Clubcard discounts. Asda came in slightly higher at £590.41, marking the first time since December 2024 that Tesco outpriced Asda.

Although Asda’s prices are accessible to all customers, Tesco’s Clubcard scheme excludes certain groups like under-18s, resulting in a higher bill of £641.09 for non-Clubcard holders. Asda has been facing challenges since its acquisition by billionaire brothers Mohsin and Zuber Issa and TDR Capital in 2021. Despite efforts to revitalize the business, including the appointment of veteran executive chairman Allan Leighton in 2024, Asda’s sales have continued to decline.

The study excluded discount stores like Aldi and Lidl due to their limited product ranges. For a smaller basket of 89 items, Aldi was the most budget-friendly at £164.74, with Lidl slightly pricier at £166.53. On the other hand, Waitrose emerged as the most expensive option, costing £679.20 for a larger shopping list and £221.53 for the smaller list, making it significantly pricier than Aldi.

Which? Retail Editor Reena Sewraz highlighted that while Aldi maintained its position as the cheapest supermarket, Lidl also remained a competitive choice for many cost-conscious shoppers. She emphasized the importance of comparing prices across different retailers to save money in the long run.

As a response to the study, an Asda spokesperson reaffirmed the brand’s commitment to offering competitive prices accessible to all shoppers, noting its consistent performance in previous comparisons. The spokesperson emphasized that Asda remains a top choice for families seeking value in their grocery shopping.

Overall, the study revealed Tesco as the most economical choice for a big shopping list, while Aldi led in affordability for smaller baskets. It underscores the significance of consumer awareness in selecting supermarkets based on individual budget and preferences.

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