London Daily

Focus on the big picture.
Tuesday, Oct 27, 2026

Asda and Morrisons cut prices as supermarkets fight for customers

Asda and Morrisons cut prices as supermarkets fight for customers

Morrisons and Asda are cutting prices as supermarkets face a fierce battle for customers with the soaring cost of living hitting households' finances.
Both supermarkets have been losing customers to discounters such as Aldi and Lidl as price pressures grow.

Morrisons said it would offer an average 13% price cut on more than 500 goods including eggs, beef and rice.

Meanwhile, Asda announced it had "dropped and locked in" prices on some products until the end of the year.

The cost of living is rising at its fastest rate in 30 years in part due to soaring food prices.

Morrisons, which is the UK's fourth-largest supermarket after Tesco, Sainsbury's and Asda, said the cuts would cover refrigerated, frozen and store cupboard food and affect around 6% of its total sales volume.

"We know that our customers are under real financial pressure at the moment and we want to play our part in helping them when it comes to the cost of grocery shopping," said boss David Potts.

Items being discounted include cereal, cooking sauces, chicken and sausages as well as flour, bread and ham.

Meanwhile, Asda said more than 100 products covered by its "dropped and locked" promise ranged from some fresh fruit and vegetables to fresh meat and frozen food.

The supermarket said prices would drop by 12% on average.

"We know that household budgets are being squeezed by an increasing cost of living and we are committed to doing everything we can to support our customers, colleagues and communities in these exceptionally tough times," said Mohsin Issa, co-owner of Asda.

The cost of living squeeze is starting to bite and shoppers are on the hunt for value in the supermarket aisles.

Recent industry data shows more people are ditching the big brands in favour of own-label products to save money.

They've also been turning to the discounters, Aldi and Lidl. After a tough pandemic, they've been growing market share.

Tesco and Sainsbury's have Aldi price-matching campaigns and have been performing better than Morrisons and Asda.

Now these two are fighting back. They need to. Morrisons and Asda have traditionally served budget conscious shoppers and can't afford to haemorrhage customers to the discounters.

Last month, Asda launched its Just Essentials range promising an expanded line of low-cost products in all its stores from May.

In February, the grocer said it would offer a wider range of low-cost goods in its stores after being criticised by food poverty campaigner and chef Jack Monroe.

Last week, the UK's largest supermarket chain, Tesco, said its profits last year more than trebled, but said its performance this year would be affected by the need to keep prices down.

Both Asda and Morrisons are losing out as customers turn to discounters Aldi and Lidl, to cut their costs, according to research firm Kantar.

UK grocery price inflation hit 5.2% in the 12 weeks to 20 March, it said, its highest level since April 2012.

In that time, Lidl and Aldi were the only big supermarkets to see their sales and market shares rise. By contrast, Morrisons and Asda saw the biggest drops in sales and market share.

Kantar's head of retail Fraser McKevitt said: "We're really starting to see the switch from the pandemic being the dominant factor driving our shopping behaviour towards the growing impact of inflation, as the cost of living becomes the bigger issue on consumers' minds."

In March, one food boss told the BBC food price inflation could rise as a high as 15% this year as a result of the war in Ukraine.

Ronald Kers, the boss of food firm 2 Sisters, blamed the rising prices of wheat and natural gas, which is used to heat greenhouses and to make fertiliser.
Newsletter

Related Articles

0:00
0:00
Close
Education or Indoctrination? The Growing Debate Over Religious Participation in British Schools
Germany's Vanishing Shopfronts: The Silent Collapse of the Businesses That Built Its Cities
Transport for London Unveils Expanded Zero-Emission Bus Fleet to Meet Capital Air Quality Targets
Higher Education Institutions Face Deepening Financial Strain Amid Declining International Student Enrolment
Automotive Industry Leaders Criticize Government Tax Policies and Urge Action on Retail Consumer Confidence
Environment Agency Issues Flood Alerts Across Scottish and English Waterways Following Heavy Rainfall
Independent Audit Highlights Persistent Security Vulnerabilities Across Legacy Government Digital Portals
Northern Ireland Political Leaders Clash Over Westminster Funding Allocations Ahead of Autumn Budget
Ethnic Minorities in England Face Significant Disparities in Routine Breast Cancer Diagnosis Rates
National Police Chiefs Report Alarming Surge in Domestic Abuse Cases Fuelled by Expanding Illegal Cocaine Market
Government Announces Two Hundred and Twenty Million Pound Pothole Funding Boost for Local Highway Authorities
China Issues Formal Warning Over Potential United Kingdom Restrictions on Chinese Electric Vehicles
British Defence Ministers Sign E5 Pact to Enhance European Military Capabilities and Industrial Cooperation Within NATO
United Kingdom Business Activity Expands at Fastest Pace in Eight Months According to S&P Global Flash Survey
Chancellor John Healey Prepares Major Devolution Package and Bank Profit Surcharge Ahead of Upcoming Autumn Budget
National Health Service Consultants in England Announce Two-Day Strike Action Scheduled for November
Major Clean-Up Under Way Across Britain Following Destruction Caused by Consecutive Storms Austen and Boelo
KEY TRENDS TO WATCH
Declassified Intelligence Files Reveal British Security Services Monitored National Health Service Founder
British Government Launches Sweeping Regulatory Crackdown on High-Risk Cosmetic Procedures
Scottish National Party Demands Ban on Using Scottish Revenues to Fund English Nuclear Energy Projects
Mayor of London Initiates Landmark Pedestrianisation of Oxford Street to Revitalise Global Retail Hub
British Judges Granted Expanded Legal Powers to Punish Convicted Killers Who Refuse to Attend Sentencing
United Kingdom Poised to Miss Reduced International Aid Spending Targets Ahead of Fiscal Review
Surging Cocaine Consumption Drives Record Drug Fatalities and Rising Crime Rates Across Britain
Department of Health and Social Care Announces One Hundred and Forty Million Pound Boost for Urgent Care
British Services Sector Records Strongest Growth in Eight Months Despite Broader Economic Uncertainty
United Kingdom Retail Sales Suffer Unexpected Decline as Consumer Confidence Plummets
Greater Manchester Mayor Andy Burnham Urges National Debate on Restoring European Union Free Movement
Deep Cabinet Divisions Emerge Over Controversial Approval of North Sea Fossil Fuel Projects
United Kingdom Government Urges Citizens to Stockpile Essential Supplies in National Resilience Pivot
Storm Boelo Kills Two People and Cuts Power to Tens of Thousands Across Great Britain
Critical Software Flaw Forces Dozens of United Kingdom Government Services Offline Amid Mass Security Warnings
UK Consumer Confidence Tumbles Amid Rising Energy Costs and Global Commodity Price Pressures
North Sea Transition Authority Approves Production from Jackdaw Gas Field to Bolster Domestic Energy Security
Storm Boelo Leaves Tens of Thousands of Households Without Power Across Scotland and Northern Ireland
UK Government Launches National Be Ready Campaign Urging Households to Prepare Three Days of Emergency Supplies
Department for Environment Food and Rural Affairs Implements Stricter Water Quality Regulations for British Rivers
Welsh Government Launches Major Renewable Energy Initiative to Expand Offshore Wind Capacity Along the Coast
Northern Ireland Executive Reaches Final Agreement on Comprehensive Regional Infrastructure Modernization Plan
Office for National Statistics Reports Moderate Increase in British Retail Sales Driven by Autumn Discounts
Scottish First Minister Announces Emergency Housing Strategy to Tackle Severe Homelessness Across Urban Centers
Automotive Industry Leaders in the United Kingdom Urge Government Support for Electric Vehicle Manufacturing Transition
United Kingdom and European Union Initiate High-Level Negotiations on Post-Brexit Defense and Security Pact
National Health Service England Introduces Sweeping Digital Reforms to Reduce Hospital Waiting Lists Nationwide
Chancellor of the Exchequer Outlines Emergency Fiscal Measures to Address Local Government Funding Crises Across England
Bank of England Governor Warns of Persistent Inflation Pressures Impacting Interest Rate Decisions in the United Kingdom
UK Conservative Party Suspends Former Electoral Candidate Following Undercover Investigation
Actors and Writers Condemn British Anti Terror Legislation Targeting Activist Groups and Free Speech
Central Bank and Treasury Monitor Inflation Risks as International Monetary Fund Upgrades United Kingdom Growth Forecast
×