GSCOP ANNUAL COMPLIANCE REPORT 2023 – 2024

This report details the actions taken by Lidl Great Britain Limited to ensure ongoing compliance with the Groceries Supply Code of Practice (GSCOP), which came into force on 4th February 2010. This document also gives account, for the Company’s last full financial year (FY 23/24), of any allegations or disputes that were raised by Suppliers, the level at which they were raised and resolved.

Actions undertaken prior to commencement of GCSOP:

In conjunction with external solicitors:

• All existing Terms and Conditions checked for compliance with the Code.

• Reference to GSCOP made in relation to all existing contracts.

Review of 2023-2024:

Training:

A total of 130 colleagues in Buying, Buying Administration and CSR Buying undertook GSCOP training in the reporting period. The CCO also trains relevant colleagues from other supplier-facing departments, such as Stock Accounting, Quality Assurance, Branding & Packaging, CSR, Logistics and Supply Chain to ensure a high-level of Code awareness across the business..

Supplier Support Team:

Following inception of the Supplier Support Team in November 2022, the team has built on the previous year’s work in facilitating collaboration with suppliers. Among other, this has resulted in Lidl GB’s first ever large-scale supplier event on 27.09.23, providing suppliers with the opportunity to speak to all Lidl teams in person, meet their buyers, and hear first-hand from Lidl’s executive team about the future direction of the company.

On an ongoing basis, the team provides on-boarding support as well as increased forecasting to buying teams and suppliers on demand.

Among other, Lidl GB has undertaken the following actions over the previous reporting period:

• Carried out Lidl GB’s first large-scale supplier event

• Launched a Supplier Newsletter

• Committed to implement electronic means of sending delivery paperwork

• Hosted the GCA in two visits – to its Enfield Distribution Centre on 19.04.23 and its Head Office on 11.12.23

• Carried out conflict resolution and communication training with Lidl GB’s core buying colleagues

• Set up a formal GSCOP Audit Committee

• We continue to monitor Lidl GB’s payment performance.

Disputes:

1 formal dispute was raised to the CCO under Articles 11(2) or 11(3) of the Groceries (Supply Chain Practices) Market Investigation Order 2009 in the previous reporting period. The dispute was resolved in the current reporting period.

Listed below are the instances in which a supplier has escalated a concern that is within the scope of the Code or the Order:

• In 1 instance, a supplier concern was raised at level 1 and resolved at level 1 (concern raised with any other party in the business, typically the Buying team).

• In 2 instances, a supplier concern was raised at level 2 (direct contact with CCO) and resolved at level 1.

• In 2 instances, a supplier concern was raised at level 2 and resolved at level 2.

• In 1 instance, a supplier concern was raised at level 2 and escalated to level 3 (direct contact with CCO, formal dispute raised).

No disputes were raised to level 4 (arbitration by GCA or other).