Lidl reported substantial Gross Value Added (GVA) generated through its operations and supply chain in the financial year 2024. This impact, dubbed ‘the Lidl Effect,’ encompasses the economic benefits stemming from Lidl’s operations, investments, and employment.
For instance, in FY24, Lidl contributed over £1 billion in taxes, significantly enhancing public services, including the NHS, education, transport, and state pensions. This showcases the retailer’s role as a significant taxpayer.
Moreover, the report revealed that for every £1 of direct value created by Lidl GB, British suppliers generated an additional £7, further supplemented by an extra £2 throughout the broader value chain. This underscores the interconnectedness of Lidl’s operations and its suppliers.
Additionally, Lidl’s commitment to British food is evident in its £5.8 billion investment in 2024, with over two-thirds of its products sourced from local suppliers. This strategy helps suppliers grow, fostering long-term and sustainable partnerships.
Through its direct operations and extensive supply chain, Lidl supports approximately 281,813 jobs across the UK, from farm to factory.
Ryan McDonnell, CEO of Lidl GB, stated,
“We’re incredibly proud of the socio-economic impact that our operations bring to communities in Great Britain. Given that we’re on track to open hundreds more stores across the country, we’re encouraged by the numbers reflected in this report because they demonstrate our tangible contribution to the British economy as a whole. Cutting the ribbon on our 1,000th store is a milestone moment for us as we celebrate not just another new Lidl, but the meaningful impact it will have. We know there are still many communities which could benefit from the Lidl Effect so we remain laser focused on delivering that through our ambitious growth plans.”
Business Secretary Peter Kyle added,
“It’s brilliant to see a retailer like Lidl thriving in the UK, opening new stores, supporting a quarter of a million jobs, and delivering billions for our economy. This milestone shows the confidence businesses have in our plan for growth, and I’m excited to see more opportunities like this open up in communities across the country.”
This inaugural report coincides with Lidl’s opening of its 1,000th store in GB, located in East Grinstead.
In 2024 alone, Lidl invested £478 million in developing new stores and distribution centers and plans to renew that investment with an additional £500 million allocated for expansion this year.
Looking ahead, Lidl intends to double its original sourcing investment into British suppliers, committing a total of £30 billion over the next five years.
Furthermore, through its nationwide schools’ program, Lidl Foodies, over 250,000 primary school children will learn about healthy, sustainable eating. Now in its second year, this initiative represents an investment of £650,000 over two years.
