Leighton steps back after two years in charge

The appointment ends a long search for an Asda chief executive and came as a surprise, since Allan Leighton had indicated he expected to fill the role with an internal candidate. Leighton, the 73-year-old executive chair who has been running the business since 2024, will now step back to a non-executive role focused on "the long-term strategic agenda for the business".

Leighton said he was "really excited" to appoint Potts, noting that the company had been stabilised and returned to some growth over the last two years through its Formula for Growth strategy.

Potts's career from Tesco shop floor to Morrisons

David Potts began his career on the shop floor at Tesco aged 16 and worked at the UK's biggest supermarket for decades, eventually heading its UK business. He went on to serve as chief executive of Morrisons between 2015 and 2023, and left the group after it was taken private by US investment house Clayton, Dubilier & Rice in 2021.

Sales pressure at the UK's third-largest grocer

The change at the top comes as Asda continues to struggle to lift sales. Market research group Worldpanel by Numerator recorded a 0.5% fall in Asda sales in the three months to 4 October, despite the company's efforts to trim prices and improve its ranges and availability of stock.

• •Aldi is poised to overtake Asda to become the UK's third-largest supermarket, with about one percentage point separating them
• •Asda and Morrisons are both struggling as they face heavy competition and high levels of debt

Potts said Asda has long been a great business he had admired and traded against over many years, including its 116,296 very hard-working colleagues.

He said Christmas is upon us and the business has a clear focus on keeping Asda prices locked low. Potts takes over with immediate effect, with Leighton staying on the board in his non-executive role as the grocer works through the festive trading period.