Aldi has hailed record Christmas sales as British shoppers saw their budgets squeezed by the rising cost of living.

The German discounter revealed that sales jumped by 26% in December to top £1.4 billion in the UK and Ireland for the first time.

It comes months after the retailer overtook Morrisons as the UK’s fourth-largest supermarket as sales continue to grow, with trade supported by increased demand from customers keen to cut costs.

The supermarket chain, which has around 990 stores, highlighted strong sales of fresh meat products, with poultry and pork up 28% for the month.

It also recorded an almost 30% rise in sales of chilled desserts, while sales of cheese increased by around 50%.

Meanwhile, snacks such as crisps and nuts were up more than 40% as the World Cup coincided with the run-up to Christmas for the first time.

Giles Hurley, chief executive officer of Aldi UK and Ireland, said: “This year, Christmas was all about family and football as people came together to celebrate in a way we’ve not enjoyed for years.

“I’m immensely proud of our amazing colleagues who once again went above and beyond to deliver an amazing Christmas for our customers.

“As the UK’s cheapest supermarket, we were able to help shoppers enjoy the Christmas they deserved and provide them with the highest quality products at the most affordable prices.

“As we head into a new year, our promise to customers is that they will always get the UK’s lowest prices at Aldi, no matter what.”