Tesco Overtakes Asda as UK's Cheapest Supermarket in Major Price Shift
Tesco Becomes UK's Cheapest Supermarket, Ousting Asda

In a significant shift for British grocery shopping, Tesco has been crowned the UK's cheapest supermarket, ending Asda's 14-month reign at the top of the price comparison charts. The dramatic change comes from the latest monthly analysis by consumer champion Which?, which compared the cost of a substantial 228-item shop across the nation's largest supermarket chains.

Price Comparison Reveals New Market Leader

Which? conducted its comprehensive price analysis throughout January, examining the total cost of a typical family grocery basket containing 228 essential items. The research revealed that Tesco shoppers using a Clubcard paid an average of £588 for their complete shop, making it the most affordable option among the major supermarkets for the first time since December 2024.

This represents a saving of £1.45 compared to Asda, where the same basket of goods would have cost shoppers £590.41. The price difference, while seemingly modest for a single shop, accumulates to substantial annual savings for regular shoppers who switch their supermarket allegiance.

How Other Supermarkets Compare

The Which? analysis provides a clear picture of the current supermarket price landscape across the UK:

  • Sainsbury's shoppers would have paid £603.55 for the same 228-item basket
  • Morrisons customers faced costs of £612.80
  • Waitrose emerged as the most expensive option, with the comprehensive shop costing £679.20 on average

Discounters Dominate Smaller Basket Comparison

Which? conducts two separate monthly price tests to provide consumers with comprehensive shopping guidance. While Aldi and Lidl are excluded from the longer 228-item comparison due to their more limited product ranges, they dominate the shorter basket analysis.

For a smaller shop of 89 essential items, Aldi maintained its position as the UK's cheapest supermarket, with shoppers paying an average of £164.74 throughout January. Lidl followed closely behind, costing £1.79 more than its fellow discounter, though this reduced to just 20p more for customers using the Lidl Plus loyalty scheme.

Expert Advice for Cost-Conscious Shoppers

Reena Sewraz, Which? Retail Editor, emphasised the importance of strategic supermarket selection for household budgeting: "With food bills still a major concern for many households, it really does pay to shop around – choosing one supermarket over another could save shoppers hundreds of pounds over the course of a year."

This advice comes as Aldi announces further price reductions across hundreds of everyday products, including fresh and frozen foods, cupboard staples, household essentials, and personal care items. The discounter continues to strengthen its value proposition in response to ongoing cost of living pressures.

Supermarket Response to Price Pressures

Julie Ashfield, Chief Commercial Officer at Aldi UK, commented on the supermarket's pricing strategy: "We know that customers are continuing to feel the pressure of the weekly shop, which is why we're constantly reviewing prices across our range to ensure we offer our customers the lowest possible prices."

She added: "These latest price reductions cover hundreds of everyday products, including a number of healthy options, and form part of our ongoing commitment to delivering great value without compromising on quality."

The shifting supermarket price rankings highlight the competitive nature of the UK grocery market and demonstrate how loyalty schemes and strategic shopping can significantly impact household expenditure. With food inflation remaining a concern for many families, these price comparisons provide valuable guidance for maximising purchasing power during challenging economic times.