London, April 2, 2026, 20:08 BST
Tesco PLC once again topped the UK grocery charts, growing sales by 5.0% in the 12 weeks through March 22. The retailer’s market share nudged up to 28.0%, 0.3 percentage points higher than the same stretch last year. Grocery inflation stuck at 4.3%, underlining the ongoing squeeze on family food bills.
That’s coming into sharp focus with Tesco set to announce preliminary results on April 16. The latest March market figures give investors an up-to-date snapshot of trading, following the retailer’s January statement flagging full-year profit likely landing at the top end of its £2.9 billion to £3.1 billion forecast range.
Shoppers are still feeling the pinch. According to Reuters, the Worldpanel numbers landed just before official UK inflation data set for April 22. As April begins, households are also staring down bigger council tax, water, mobile phone and broadband bills. “The conditions that make shoppers feel vulnerable are only intensifying,” said Fraser McKevitt at Worldpanel. Reuters
Competitors aren’t standing still. Sainsbury’s pulled in 387,000 additional households versus last year, bumping its share to 15.6%. Lidl came out on top for growth among store-based grocers, logging a 9.6% increase in sales and an 8.3% market share. Asda’s grip on its 11.6% share held steady, though its sales dipped 0.9%.
Tesco has kept its edge by pushing price cuts, loyalty rewards and faster delivery. “Competition is as intense as ever,” Chief Executive Ken Murphy said in the January trading update, adding that value still topped customers’ lists. The release also pointed to a jump in online sales—up 11.2% over Christmas—while Whoosh rapid-delivery orders surged 47%. Tesco PLC
The race for fast delivery has taken center stage. Back in February, Reuters noted that Whoosh operates out of 1,600 stores, now able to reach upwards of 70% of UK homes. Over at Aviva Investors, UK equity portfolio manager Kunal Kothari called Tesco’s 30% market-share target “conceivable over a number of years.” Reuters
But the margin outlook isn’t without its hazards. Ben Preston, fund manager at Orbis Investments, told Reuters the bigger threat is Tesco “lose focus” and open the door for competitors—especially now, with Tesco bumping up hourly pay for both store and online fulfilment staff to 13.28 pounds starting March 29. That’s against a backdrop where Asda’s 2025 profit dropped 33%, after it slashed prices to pull shoppers back. Reuters
Tesco was trading at 473.5 pence as of 16:36 in London, according to the company’s investor site. Eyes now turn to April 16, when the group is slated to release its preliminary results.
