Sainsbury’s and Morrisons ‘held talks this year’ on multibillion-pound merger
News Source
•Mon, 05 Oct 2026 15:24:29 GMT
📰 What Happened
Sainsbury's and Morrisons held talks this year about a multibillion-pound merger. Reports say the two UK supermarkets had early talks but are no longer in active discussions.
A merger would have created a company with 23.6% of the UK grocery market. That is still behind Tesco, the biggest supermarket, which has 27.8%. The deal would have been the biggest shake-up in UK supermarkets in decades.
🔍 The Backstory
Morrisons was once one of the UK's 'big four' supermarkets. In 2021, US private equity firm Clayton Dubilier Rice bought it. The deal left Morrisons with over 7 billion pounds in debt, and it has struggled since. The discounter Lidl overtook it this year.
In 2019, Sainsbury's and Asda tried to merge but were blocked. The regulator worried the deal would cut competition and raise prices.
🎯 Why It Matters
Fewer supermarkets could mean less choice and higher food prices. The regulator's decision matters for every shopper.
Sainsbury's and Morrisons held talks this year about a multibillion-pound merger. Reports say the two UK supermarkets had early talks but are no longer in active discussions.
A merger would have created a company with 23.6% of the UK grocery market. That is still behind Tesco, the biggest supermarket, which has 27.8%. The deal would have been the biggest shake-up in UK supermarkets in decades.
Morrisons was once one of the UK's 'big four' supermarkets. In 2021, US private equity firm Clayton Dubilier Rice bought it. The deal left Morrisons with over 7 billion pounds in debt, and it has struggled since. The discounter Lidl overtook it this year.
In 2019, Sainsbury's and Asda tried to merge but were blocked. The regulator worried the deal would cut competition and raise prices.
Fewer supermarkets could mean less choice and higher food prices. The regulator's decision matters for every shopper.