Iceland: Frozen food to see ‘transformative growth’ in 2025 as US sales surge

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Iceland Foods is predicting that 2025 will be the year the frozen food category sees “transformative growth” in the UK.

The retailer is forecasting that British shoppers will follow in the footsteps of their American counterparts, of making frozen food a big focus in 2025 as towards the end of last year, frozen food sales in the US increased by 54%.

Iceland chief commercial officer Paul Dhaliwal expects the UK to follow suit as households face rising costs and demand for sustainable and cost-effective grocery options grow.


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The frozen food retailer’s latest research found that 44% of UK consumers are unaware that frozen fish, meat, fruit and vegetables can be more affordable and nutritious than fresh alternatives, with 64% calling for greater education on the benefits.

According to Iceland, frozen products often retain higher nutritional value than fresh alternatives, prompting a rise in health-conscious consumers opting for frozen options.

Dhaliwal continued: “There is no doubt that American trends influence the direction of travel for retail in the UK and we’re seeing similarities with the UK’s growth of frozen food over the past year. It would be no surprise to us to see a similar meteoric rise, with 2025 being the year of frozen.

“Our research highlights the potential of frozen food in the UK this year. With growing financial pressures, frozen products offer significant savings, reduced waste, and better nutritional value in many cases.”

He added: “Retailers have a clear opportunity to shift consumer perceptions and unlock the full potential of this category.”

It comes as earlier this month, Iceland launched its biggest-ever deals event to help ease the financial pressures of January for millions of families across the UK.

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Iceland: Frozen food to see ‘transformative growth’ in 2025 as US sales surge

Iceland store

Iceland Foods is predicting that 2025 will be the year the frozen food category sees “transformative growth” in the UK.

The retailer is forecasting that British shoppers will follow in the footsteps of their American counterparts, of making frozen food a big focus in 2025 as towards the end of last year, frozen food sales in the US increased by 54%.

Iceland chief commercial officer Paul Dhaliwal expects the UK to follow suit as households face rising costs and demand for sustainable and cost-effective grocery options grow.


Subscribe to Grocery Gazette for free

Sign up here to get the latest grocery and food news each morning


The frozen food retailer’s latest research found that 44% of UK consumers are unaware that frozen fish, meat, fruit and vegetables can be more affordable and nutritious than fresh alternatives, with 64% calling for greater education on the benefits.

According to Iceland, frozen products often retain higher nutritional value than fresh alternatives, prompting a rise in health-conscious consumers opting for frozen options.

Dhaliwal continued: “There is no doubt that American trends influence the direction of travel for retail in the UK and we’re seeing similarities with the UK’s growth of frozen food over the past year. It would be no surprise to us to see a similar meteoric rise, with 2025 being the year of frozen.

“Our research highlights the potential of frozen food in the UK this year. With growing financial pressures, frozen products offer significant savings, reduced waste, and better nutritional value in many cases.”

He added: “Retailers have a clear opportunity to shift consumer perceptions and unlock the full potential of this category.”

It comes as earlier this month, Iceland launched its biggest-ever deals event to help ease the financial pressures of January for millions of families across the UK.

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