Budget supermarket Aldi has pledged to invest £900 million in 40 new stores and its warehouse network in 2027, despite reporting a slight dip in annual profits.
Profits slip as sales hit record £19bn
The German-owned retailer revealed operating profits fell 1% to £432.9 million in 2025, compared with earnings of £435.5 million the year before. The decline came as investment in keeping prices low and a rising wage bill countered a 5% boost in sales.
Turnover soared to a record-breaking £19 billion during the year, the chain confirmed.
Expansion drive accelerates
Aldi, which currently operates 1,092 outlets across the UK and Ireland, announced it would launch another 40 stores in 2027 as part of the record-breaking £900 million investment blueprint for next year.
The UK's fourth biggest grocery retailer revealed it was unveiling 30 fresh stores over the coming 10 weeks alone as it accelerates its expansion drive, including locations in Dumbarton, Newport and Willesden in London.
The company has previously stated its ambition to reach 1,500 outlets nationwide, with a mission to "focus on communities cut off from affordable groceries due to lack of local choice or competition".
Warehouse upgrades and price cuts
The investment strategy will also encompass improvements to its warehouse and distribution infrastructure. Aldi additionally confirmed it would persist with slashing prices in the lead-up to Christmas, following a £340 million price reduction drive this year.
Giles Hurley, chief executive of Aldi UK and Ireland, said: "The cost of food remains one of the biggest pressures on households across the country.
"Recent droughts at home and events overseas have highlighted just how fragile our food system is and why food security must be a long-term national priority.
"We're working hard to make good food more affordable for every family – cutting prices on everyday essentials, signing long-term supplier agreements to help increase home-grown production, and continuing to bring affordable groceries to even more communities through our store opening programme."
