The UK convenience store market is poised for further growth, with international real estate advisor Colliers forecasting store numbers to grow an additional 9% by 2027 as the market continues to expand.

The research from Colliers has found that, in the last decade, the number of convenience stores in the UK has risen substantially, from 5,015 stores in 2013 to 8,556 in 2024, marking an uplift of 71%.

Growth can be seen across the sector, with all major grocers increasing their exposure to convenience stores in recent years. Market share is currently led by Co-op at 38%, followed by Tesco Express at 24% and Morrisons’ M Local at 13.5%.

The forthcoming growth of 9% can be attributed to ambitious expansion plans announced by all grocers, says Colliers. Tesco has projected to open c.70 new stores each year for the next three years, with Waitrose seeking a further c.100 stores over the next five years. Additionally, Asda has sights set on over 50 standalone Express stores each year for the next three years, while Sainsbury’s plans to open 20-30 new Local / Neighbourhood sites each year, also over the course of three years.

Totalling the plans announced by all grocers, the research from Colliers projects a growth of 260 – 300 new convenience stores by 2027.

Matthew Hobbs, head of retail lease advisory at Colliers, comments: “With this level of demand for new convenience food stores, we expect to see continued rental growth in the sector over the next few years. In some key locations, particularly new housing developments, rents have doubled from where they were two to three years ago”.

“A large number of leases on the first-generation of convenience stores are now expiring, leaving landlords and occupiers in the position of having to negotiate terms for renewal. It is critical that both parties are represented by specialists who are in possession of the latest open market transactions. Otherwise, they risk selling themselves short in this highly dynamic sector”.