The chief executive of Aldi in the UK has accused competing supermarket chains of deceiving customers through loyalty discount schemes that rely on artificially inflated starting prices. Giles Hurley, Aldi’s UK boss, argued that while genuine discounts are beneficial, many rival promotions begin with “unrealistically high prices” before dropping to levels that are not genuinely competitive.
Hurley stated that such tactics mislead consumers, describing them as a form of loyalty that is neither supportive nor transparent. He emphasized that these practices hinder shoppers’ ability to plan and manage their budgets effectively. Aldi is currently the only major supermarket chain in the UK that does not operate a loyalty programme, focusing instead on consistent everyday low prices.
The comments come as Aldi reported a 5% rise in sales to £19 billion for 2025. However, the retailer noted that operating profits had dipped slightly over the same period due to increased staff wages, infrastructure investments, and price fluctuations. Hurley noted that despite intense sector-wide competition, the company continues to attract new customers because its weekly shopping costs are lower than the previous summer.
Retail consultant and former Asda buyer Ged Futter responded to Hurley’s claims by suggesting they serve as a distraction from Aldi’s own performance issues. Futter indicated that while Aldi experienced rapid growth two years ago, it is now lagging behind major supermarket competitors, with the price advantage becoming less distinct.
Although the UK’s Competition and Markets Authority concluded in a 2024 investigation that shoppers generally see real savings from loyalty schemes, Hurley maintained that promotions should only supplement low prices when they offer realistic reductions. To support this strategy, Aldi announced it has spent £340 million this year on price cuts and plans to open 40 new stores next year as part of a £900 million investment programme. The company also aims to expand long-term agreements with British suppliers, citing recent droughts and global events as reasons to prioritize domestic food production to reduce vulnerability to supply chain shocks.
If Aldi is so cheap, why are their profits dipping? Seems like they need to fight fire with fire now.
How do you even know what the original prices were supposed to be? The whole system seems designed to confuse us.
Is this just bitter jealousy because Aldi is growing faster? Feels like a classic distraction tactic to me.
I just want honest pricing without the confusing loyalty point games. It is refreshing to see someone call this out.