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Aldi targets more towns with expansion push; eyes Aldi Local stores in Central London

Discount chain’s latest site list poses fresh challenge to independent convenience retailers

Aldi supermarket exterior with store sign and opening hours displayed prominently

Aldi store in Bakewell, Derbyshire

Photo: iStock

Key Summary

  • Aldi’s UK market share hits record 11.1 per cent as store expansion gathers pace
  • New ‘Aldi Local’ convenience store format planned for Central London
  • Growing competition in key towns for independent retailers

Aldi UK has unveiled 20 new priority locations for upcoming stores and confirmed plans to grow its Aldi Local format in Central London.


This follows latest Kantar data showing the fast-growing discounter’s market share hit a record high of 11.1 per cent in the four weeks to 18 May 2025, with sales growing by 6.7 per cent — its fastest rate of growth in over a year.

The announcement raises concerns about further pressure on smaller stores, especially in areas where Aldi’s presence is still limited.

New town targets revealed

Aldi is actively seeking new store sites in towns such as Braintree, Chesham, South Croydon, Ponteland, and Uckfield as part of a continued push to reach its long-term goal of 1,500 UK stores. It currently operates more than 1,050 outlets, with 10 more expected to open this summer in locations including Caterham, Sheffield, and Fulham Broadway.

Each new store site will need to accommodate 20,000 sq ft of space and 100 parking bays — a clear indication that Aldi is focusing on its standard full-service model in these regional areas.

Aldi Local: A direct challenge to independents

Perhaps of most concern to convenience store operators is Aldi’s continued focus on its smaller-format Aldi Local stores. The discounter confirmed it is currently scouting for new Local-format sites in zones 1 and 2 of Central London, where smaller-format stores of just 5,000 sq ft are designed to compete directly with high-street and corner-shop convenience retailers.

These stores strip back space and range to suit urban shopping habits but retain Aldi’s hallmark low prices — something that poses a significant threat to independent retailers already squeezed by price-sensitive footfall.

Public demand fuels expansion

Aldi’s latest priority list stems from a public campaign inviting shoppers to suggest locations where a new store is most needed.

“The response from the public has been invaluable in helping us identify where demand is greatest,” said Jonathan Neale, managing director of national real estate at Aldi UK. “We want to make high-quality, affordable food accessible to everyone, and that means opening new stores in the communities that need them most.”

This expansion is part of a £650 million investment this year alone by the German chain, but it also signals intensifying competition in the retail grocery space.

Priority locations for new Aldi stores:

Braintree, Bromley, Chesham, Balby, Ealing, Ferndown, Hitchin, Kenilworth, Kirkby, Largs, Pickering, Ponteland, South Croydon, South Shields, Tadcaster, Uckfield, Warwick, Wellingborough, Witney, Worthing.