Discount retailer Lidl GB is investing £435m ($586m) to expand its warehouse capacity in London and Leeds, bolstering its growth across Great Britain.
The investment includes a two-stage extension at its Belvedere site in London and the construction of a new facility in Leeds.
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The expansion at the Belvedere site has reached completion, with Lidl investing £285m in two buildings.
The first phase, which cost £160m, saw the construction of a second warehouse at the site. The second phase involved demolishing the original building to construct an advanced warehouse, tripling the site’s capacity.
Lidl’s warehouse space at Belvedere now spans 800,000ft², marking a 167% increase since the site’s initial opening in 2003.
The expanded facility can accommodate 1,800 double-decker buses and, once fully operational, will serve 120 stores, including the recently opened Brentford store to Dorking and future locations.
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By GlobalDataIn July 2025, Lidl GB began the construction on a 38-acre site in Gildersome, Leeds, with a £150m investment.
The development will enhance the retailer’s infrastructure to support its nationwide store network as it approaches the milestone of 1,000 stores.
Lidl GB chief real estate officer Richard Taylor stated: “We’re proud to play our role in driving economic growth, while continuing to establish an infrastructure that delivers sustainable growth for our ambitious expansion plans. But these investments are not just about logistics. The updates today also represent an investment in our mission to make good food accessible to households across the country.”
The warehouse projects are expected to create more than 500 new jobs, with 120 positions at Belvedere and 400 in Leeds.
Following the expansion, Lidl employees will also benefit from the company’s market-leading pay and benefits from September 2025.
UK Chancellor of the Exchequer Rachel Reeves said: “This investment is a strong vote of confidence in the UK economy, and Lidl’s commitment to new warehouse facilities in London and Leeds will unlock hundreds of new jobs, strengthen supply chains and ensure families can access affordable, quality food. Through our Plan for Change we’re backing business and working in partnership to deliver growth and opportunity in communities across the country.”
Lidl now operates 12,600 stores and more than 230 logistics centres and warehouses in 31 countries.
The retailer is on the verge of surpassing Morrisons to become the UK’s fifth-largest supermarket, according to recent market data.
