Asda has acknowledged that a failed £1bn IT upgrade, which disrupted product availability on shelves, has delayed the business's recovery efforts "by six months" as it attempts to reverse its declining performance.

Chief executive Allan Leighton, who rejoined the supermarket group last year, described the sales decline over the previous three months as "self-inflicted", caused by disruption during the transition from a legacy system connected to former owner Walmart. The boss also warned that consumers are "confused and concerned" in the wake of the autumn Budget.

The Leeds business disclosed that like-for-like sales fell by 2.8% during the third quarter of 2025 following "severe disruption" related to the IT transition. The retailer had been separating more than 2,500 legacy IT systems

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