Which was the cheapest supermarket of 2021?

Aldi was the cheapest supermarket for 2021, according to exclusive Which? research.

We checked hundreds of thousands of prices throughout 2021 to compare the cost of a basket of groceries at the UK’s eight biggest supermarket chains.

Aldi won our ‘cheapest supermarket of the month’ title six times last year – more than any other supermarket. Lidl came top for five months and, for one month, the two discounters were tied. 

But whether or not you shop at a discounter, inflation is meaning higher food and drink costs as 2022 begins. Here, we reveal how much prices have already risen, as well as the most expensive supermarket in our research.

Cheapest supermarket of the year

Aldi (Aldi.co.uk) was the cheapest supermarket of 2021, just beating rival Lidl (Lidl.co.uk).

The two are consistently very close in our monthly basket comparison. This includes own-brand products, such as apples and eggs, as well as branded goods such as Hovis bread – and often only a few pence separates the rival discounters. 

Asda (Asda.com) was the cheapest of the non-discounter supermarkets, and has been every month for the past two years.

At the other end of the scale, Waitrose has the unenviable title of being the priciest supermarket for every month in 2021.

Of course, price is just one factor when you’re deciding which supermarket to shop at. We also survey shoppers on supermarkets’ product quality, customer service, store appearance, online deliveries and more, to reveal where to shop for an all-round great experience – check out our guide to the best and worst supermarkets to find out more.

Cheapest supermarket for December

To work out the cheapest supermarket of 2021, we first had to look at December’s figures.

Lidl was actually the cheapest supermarket in December, at £23.29 for a basket of 22 groceries, just beating Aldi where the basket cost £23.64. Meanwhile Waitrose was more than £9 pricier than Lidl, at £32.85 – that’s 41% more.

We also compared a trolley packed with 70 items (the original 22 plus 48 more). This included a greater selection of branded items, such as Cathedral City cheddar and Kenco coffee, that aren’t always available in the discounter supermarkets – so for our bigger trolley we weren’t able to include Aldi or Lidl.

Asda, at £135.07, was the cheapest of the traditional supermarkets. It was £18.30 cheaper than the most expensive supermarket, Waitrose. 

Woman shopping in supermarket

How much are grocery prices rising?

Inflation is a big talking point at the moment, with experts predicting sharp price rises in 2022 – but have grocery prices already risen?

We found that the cost of a basket of 19 items – including bread, milk and tea bags – rose by an average of 3.4% between January and December 2021.

The basket increased in price at all eight supermarkets over that period, but Waitrose customers may have felt it more keenly than those who shop at Sainsbury’s: 

Supermarket Grocery basket price rise Jan – Dec 2021 (%)
Sainsbury’s 0.59%
Tesco 0.89%
Ocado 1.62%
Morrisons 2.50%
Asda 2.89%
Aldi 4.32%
Lidl  5.13%
Waitrose 9.20%

Unfortunately, the worst could be yet to come: several big food and drink companies, including P&G, Kraft Heinz, Mondelez, General Mills and Colgate-Palmolive, have warned they are preparing to increase prices.

Manufacturers say this inflation is being driven by supply chain pressures, rising wages and freight costs.

Ele Clark, Which? retail editor, said: ‘No one wants to overpay for basic groceries, especially when a cost of living crunch is putting extra pressure on household budgets.

‘Our findings show that, while prices are going up, some supermarkets are passing their rising costs onto shoppers more than others. As well as choosing a supermarket that is cheap overall, other ways to save include swapping from branded to own-brand products, sticking to a shopping list and resisting the temptation to pick up special offers you don’t need.’

Which grocery prices have risen most?

The prices of the items in our basket rose by 3.4% on average – but which products rose the most in price? Here are the top five: 

  • Royal gala apples: up 14%
  • Free-range eggs: up 12%
  • Brown onions: up 11%
  • Fresh skimmed milk: up 10%
  • Fresh semi-skimmed milk: up 9%

Market analyst firm Kantar has also found that grocery price inflation reached 3.5% in the four weeks to 26 December – its highest level since spring 2020 (when promotions were cut to maintain availability). That’s an extra £15 on shoppers’ average monthly grocery bill. Before spring 2020 you would have to go back to January 2018 to see higher inflation. 

Kantar said prices were rising fastest for groceries such as fresh beef, savoury snacks and skincare. But the good news is they are falling for fresh bacon, bath and shower products, and spirits.

How Which? compares supermarket prices

We check the prices of hundreds of grocery items at eight major supermarkets every day throughout the year, using an independent price comparison website.

For our ‘cheapest supermarket of the month’ analysis, we work out the average price for each item at each supermarket across the month, and add up the averages to get an average trolley price for each store.

We include special offer prices but not multibuys, to keep it as fair as possible.

Our shopping list combines branded items, such as Kenco coffee, Oxo stock cubes and PG Tips tea bags, with own-label products, including onions and milk. Of course own-brand items aren’t exactly the same at different supermarkets, but we’ve used experts to ensure that the products are as comparable as possible, based on a range of factors, including weight and quality.



source https://www.which.co.uk/news/2022/01/which-was-the-cheapest-supermarket-of-2021/
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