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Home Retail News Retailer News

Lidl to spend £6 billion on top of original five-year commitment to invest £15 billion into British food and farming

by Fiona Briggs
November 15, 2024
in Retailer News
Reading Time: 3 mins read

Lidl Lidl GB is on track to invest a total of £21 billion in the British food industry by the end of FY24, exceeding its original five-year commitment of £15 billion by 40%. This equates to an additional £6 billion and underscores the retailer’s ongoing support for British agriculture and food production.

In the last financial year alone, it invested around £5 billion. The investments cover a range of sectors, with Lidl GB long championing British agriculture. Currently two thirds of the discounter’s products within its permanent range are from British suppliers, with 100% of its fresh everyday milk, butter, eggs, cream, pork, chicken, and beef being British.

Richard Bourns, chief commercial officer at Lidl GB, said: “As we celebrate 30 years of Lidl in Great Britain, it’s a fitting time to reflect on how far we’ve come. One of the things we’re most proud of are the strong relationships we’ve built with British suppliers, who have grown with us over the years. Now more than ever, we remain committed to supporting British farmers, ensuring we’re a dependable partner to those who put quality, home-grown food on Lidl shelves across the country. By continuing to invest in British agriculture, we’re helping to ensure our suppliers can thrive in the future, providing the British-sourced products our customers love all year round.”

Lidl’s commitment to British produce is enhanced by its model, which offers an extensive own-brand range – approximately 90% of its product offering, compared to 56% across the sector1 – meaning it has direct relationships with more than 650 suppliers from across the country.

Throughout 2024, the discounter announced a series of sector-specific investments into the British food industry, including:

  • October: Lidl announced an investment of £1 billion into the British free-range egg industry. This builds on existing financial incentives aimed at addressing the shortage of British free-range egg farms, with farmers in its free-range egg producer group benefitting from long-term cost of production contracts and guaranteed minimum volumes.
  • July: Lidl committed to investing £1.5 billion into the British beef industry over the next five years, as part of its wider commitment to sourcing 100% British beef. Alongside this, it announced a market-leading sustainability programme in partnership with its British beef suppliers, offering financial rewards to members of its Sustainable Beef Group for adopting sustainable practices.
  • April: As the fourth-largest retailer in the fresh pork category, Lidl announced a £500m investment into the British pork sector following a £14m injection in 2022, doubling down on its 100% everyday fresh British pork commitment. This is alongside launching a pork producer group to aid industry collaboration, while investing in farm initiatives to decrease emissions and fund research into welfare enhancements.
  • January: As many farmers were facing challenging weather conditions, Lidl revealed an investment of over £70 million into British root veg suppliers as a result of long-term contracts, offering farmers certainty and security to invest in their operations.

Further supporting British farming, Lidl is expanding its initiative for those supplying the company. Building on the success of Lidl’s Grassroots programme, the discounter is launching a Grassroots Farming Conference to strengthen ties with British farmers across more sectors including the pork, dairy, and beef industries.

The inaugural conference will take place between 19th and 20th February next year, at Harper Adams Agricultural University and will cover topics including agricultural policy, mental health, and more. Key speakers include Alex Burrows, Chair of NACFT; Michael Kavanagh, Director of Green Farm Collective; and Stephanie Berkeley from the Farm Safety Foundation.

This announcement follows Lidl’s recognition by British Apples and Pears Limited for its exceptional year-on-year performance, being one of only two supermarkets to increase British apple sales during the 2023 – 2024 season. The company was also awarded Fresh Produce Retailer of the Year and Supermarket of the Year at the 2024 Retail Industry Awards, reflecting its dedication to delivering fresh, high-quality produce through partnerships with local suppliers.

Share This Article

Similar Retail News Articles:

  1. Lidl brings together British farmers, food producers, and industry leaders for inaugural Grassroots British Farming Conference
  2. Lidl GB commits £30bn to strengthening British food and farming industry over the next five years
  3. Lidl GB announces plans to invest half a billion pounds in expansion
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