Co-op has announced a “Backing Britain” initiative with a targeted £1bn boost into the UK economy over the next 12 months, resulting in lowering prices for both members and customers, whilst backing British sourcing, community-focused retailing and skills development.
New insight from Co-op’s latest membership research shows that 58% of those surveyed now rank the cost of living as one of their top three concerns, up from 51% in late 2024. Concern is even higher among younger members, with 72% of those aged 18 to 34 placing cost of living in their top three worries. Co-op, owned by 7 million members, said these concerns sit at the heart of its Backing Britain plan.
Shirine Khoury-Haq, Co-op Group CEO, said that the retailer would be investing in “our biggest ever number of price reductions to help with the cost of living, continued investment in British farmers and suppliers, and a focus on keeping high streets vibrant and safe”.
Co-op will invest in lowering prices on over 1,000 products across its ranges in 2,300 stores and online. The investment will be focused on categories that support British farming, produce, protein and dairy, with Co-op remaining committed to using British ingredients across all its products such as those in the lunchtime meal deal, which is the cheapest British Meal Deal in the market.
The group will continue to spend over £700m per year with British farmers and agriculture suppliers maintaining its 100% British fresh and frozen meat commitment across all own-brand ranges and when used as an ingredient. This is alongside 100% British eggs and milk and continuing to source British grown produce including a 100% British Potatoes and carrots all year-round commitment. The Group also called on the UK Government to ensure that UK farmers are properly supported to ensure that they can play their crucial role both in feeding the nation and tackling the climate and nature crises.
The retailer will spend over £580m with GNFR (Goods Not for Resale) businesses that are based and operate from the UK. Additionally, through Co-op Power – its energy-buying arm – the group will deliver more than £6.4m of energy procurement over the next 12 months, helping UK organisations cut costs and source low-carbon energy.
Co-op is also reviewing its pension investment approach with the intention of directing more of its defined-contribution fund towards UK companies and markets, supporting sustainable growth and responsible investment in the British economy.
The group plans to continue investing in approximately 100 stores across the UK over the next 12 months – including new openings, redevelopments, relocations and refits – ensuring essential retail services remain at the heart of neighbourhoods nationwide. The 2026 store programme also includes launches of Co-op’s new sustainable showcase stores*, which are designed to minimise environmental impact through innovative practices. Earlier this month, Co-op confirmed 50 new and refurbished stores will open before Christmas – including 10 in Scotland – as part of its ongoing investment in local retail and jobs.
A vocal and progressive voice on retail crime, Co-op continues to invest £38m every year in preventative measures in its stores to deter and prevent persistent offenders stealing from its stores and abusing its store colleagues. This investment, alongside extensive Police partnerships across the UK is reaping significant rewards in reducing crime and incident numbers, to help keep community high streets in Britain safer.
Over the past five years, Co-op has shared £63m through its Local Community Fund, supporting 22,500 local causes across the UK – from food banks and youth projects to mental wellbeing initiatives – with new funding now reaching thousands more.
The group is also continuing its £7m partnership with Barnardo’s to support one million young people, while its charity, the Co-op Foundation, is investing £2m in grassroots organisations to amplify youth voice and deliver long-term social change.
Co-op has set a target of creating 7,000 matched apprenticeships by 2030 through its Levy Share service, which has already transferred £40 million of unspent apprenticeship levy from larger employers to smaller businesses and community organisations since 2021. Over the next 12 months, a further £6m is expected to be shared, contributing to a projected £70m total by 2030 – helping thousands more people access training and career opportunities and further boosting skills and social mobility across the UK.
Co-op provides £1m a year to its 38 Co-op Academies, funding additional support for pupils and families in need. This includes a dedicated “Co-op Premium” for Pupil Premium students – those eligible for free school meals – to support targeted curriculum, enrichment activities and essentials like uniforms and equipment, alongside an annual discretionary fund of £3,000–£7,000 for each headteacher to offer direct support to families.
