Discounter Lidl has increased its UK grocery market share to a record high of 5.2%, overtaking Waitrose to become the country's seventh largest supermarket, industry data showed today.

Market researcher Kantar Worldpanel said Lidl's sales rose 18.9% year-on-year in the 12 weeks to August 13, while rival discounter Aldi's sales rose 17.2%, giving it a market share of 7.0 percent.

All of Britain's big four grocers - market leader Tesco, Sainsbury's, Asda and Morrisons - increased their sales in the period but they still lost market share to the discounters, who, unlike the big four, are continuing to open new stores.

Grocery inflation was 3.3% for the 12 weeks versus 3.2% in last month's data set.

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