Tesco objections stall Aldi's Irish expansion

More and more Irish shoppers are switching to the German retailer...

Objections raised by Tesco are reported to have halted Aldi expansion plans in Dublin for the time being.

The UK chained appealed against a decision by Dublin City Council to grant Dunmull Ltd permission to build an Aldi outlet and a nursing home in Clarehall, north Dublin.

It claims that this development will not provide the range of mixed uses required under zoning laws. Another objected was that the development would suffer from "poor integration with the surrounding area," and possible transportation issues were also raised - according to The Irish Examiner.

It adds that previous Aldi development plans have also been blocked following objections from Tesco.

Tesco operates a supermarket in the Clarehall shopping centre - it says that it is objecting to this particular plan and not the principal of a competitor coming to Clarehall according to the report.

Aldi offered no comment on this issue when contacted by Newstalk.

Last December, Aldi unveiled plans to create 400 jobs, opening 20 new Irish outlets. The firm already employs 3,200 people across its 128-store network.

Aldi was the fastest growing retailer in Ireland in January - its sales were up by 6.3% year-on-year.

Its market share was 10.6% - less than half of the 22.4% share commanded by Tesco.