Aldi is lobbying Sir Keir Starmer to speed up building permit procedures for new supermarkets, as the retailer faces longer approval times from local authorities.
George Brown, Aldi’s national property director, recently met with a senior special adviser to the Prime Minister, urging reforms that align with the government’s agenda to boost economic growth and “build Britain back to get.”
Brown expressed his concerns on LinkedIn, highlighting that obtaining planning permission for new Aldi stores often takes more than 12 months because local authorities are under-resourced. He suggested Aldi would be willing to invest in the application process to speed up approvals, highlighting the need for more streamlined and efficient decision-making for retail developments.
Brown also noted a preference among planning authorities for warehouse and industrial estate approvals, which he said generates fewer local jobs compared to supermarket openings. “To enable significant investment in the UK economy, this needs to change,” he said.
Aldi has set a target of reaching 1,200 UK stores by 2025, but is currently behind schedule with just over 1,020 locations. The retailer has also announced a broader target of 1,500 stores, although no specific timeline was given. Aldi attributes the delays to red tape, building materials shortages and competitor objections, factors that have slowed expansion and affected sales growth.
The talks with Starmer’s adviser come as part of the Prime Minister’s wider pledges to prioritize construction projects. Sir Keir recently pledged to boost the planning process to enable faster residential and commercial development.
Aldi’s push reflects a wider frustration within the retail sector over the current planning system. Competitors such as Waitrose, Lidl and Iceland are also pursuing expansion plans and have spoken out about the bureaucratic challenges they face. Richard Walker, Iceland’s chief executive, criticized planning delays as a “handbrake on growth”, citing longer approval times that are hampering store openings.
Walker has also accused Aldi and Lidl of using restrictive ownership clauses to prevent Icelandic stores from opening nearby, a claim both discounters have declined to comment on. Meanwhile, Aldi has responded that competing supermarkets are increasingly submitting objections to delay their own store openings. British CEO Giles Hurley notes that objections have increased as Aldi continues to offer a significant price difference compared to traditional supermarkets.
Supermarket chains have denied any claims that they have raised unnecessary objections, saying they only raise concerns where there are valid planning considerations. The government, including Number 10, has refused to comment on the ongoing planning disputes.