Rahul Somvanshi
The Competition and Markets Authority designated Aldi and Lidl as Large Grocery Retailers under the Groceries Market Investigation (Controlled Land) Order 2010 on October 22, 2026, taking the number of businesses covered by the order to ten. The designation bars the discounters from entering property agreements that include exclusivity terms or restrictive covenants designed to block competing food retailers from opening on nearby sites—the same restrictions that have applied to the seven other major retailers since the order came into force.
The CMA published its final designation on October 22, 2026, covering Aldi Stores Ltd, Lidl GB, and Lidl NI. The seven retailers previously covered by the order are Asda, Co-op, Marks and Spencer, Morrisons, Sainsbury’s, Tesco, and Waitrose. Iceland remains exempt. Neither Aldi nor Lidl made representations during the CMA’s consultation process.
The Controlled Land Order designation bars Aldi and Lidl from entering property agreements that include exclusivity terms or restrictive covenants. These are the conditions that have historically prevented competing food retailers from opening on sites where a larger chain has a land interest. The order also allows the CMA to review existing agreements at the request of landowners, developers, and rival retailers. The established supermarket chains already covered by the order welcomed the decision; City A.M. reported that supermarket groups viewed the designation as creating a level competitive playing field.
Why the designation matters
The Controlled Land Order regime dates to the Competition Commission’s 2008 grocery inquiry—the CMA’s predecessor body—which found that major supermarket chains were using property agreements to limit where rivals could open. The subsequent 2010 order applied to the dominant chains.
Aldi and Lidl were previously excluded because they were classified as limited-assortment discounters rather than full-range grocery retailers. The CMA’s review found that both chains now operate at a scale and geographic spread that warrants reclassification as large grocery retailers, given their full range of groceries, procurement model, and rapid expansion across the UK. Aldi does not operate in Northern Ireland; that is why Lidl NI is a separate designation from Lidl GB.
The CMA’s final decision and supporting documents set out the specific conditions of the designation and the process for reviewing existing land agreements. For anyone monitoring specific site decisions, the CMA case page tracks the full documentation.
The CMA designation takes effect for new property agreements. Existing agreements can be reviewed at the request of landowners, developers, or rival retailers through the CMA’s formal review process—not through a blanket timeline.
