Lidl has started building a new warehouse in Leeds after finishing a major expansion of its London site, with both set to create a combined 500 new jobs.
The German-owned chain said it had completed an expansion project at Belvedere in London.
The £285 million investment involved the redevelopment of its warehouse, and the construction of a second building – tripling capacity on the site.
It is expected to serve 120 stores once the site is fully operational.
Furthermore, Lidl said construction of a new warehouse in Leeds had begun in a £150 million investment project.
Both developments, which cost a combined £435 million worth of investment, are expected to create more than 500 new jobs – including 120 in London and 400 in Leeds.
Lidl continues to be one of Britain’s fastest-growing grocery chains, and is currently the sixth largest in the country, according to Kantar data.
It has edged closer to overtaking rival Morrisons in the rankings.
The retailer has more than 980 stores and 14 distribution centres in England, Scotland and Wales – as well as thousands in countries across Europe.
Chancellor Rachel Reeves said Lidl’s investment in the warehouses was a “vote of confidence” in the UK.
She 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.”
Richard Taylor, Lidl’s chief real estate officer for Great Britain, said the chain was “proud to play our role in driving economic growth”.
Lidl was among a host of Britain’s biggest retailers to sign a letter addressed to Ms Reeves warning that raising taxes in the autumn budget could contradict her plans to improve UK living standards.
The letter, sent by trade body British Retail Consortium, said it was becoming “more and more challenging for us to absorb the cost pressures we face”.
The Treasury responded by saying it was a “pro-business Government”.
