UK’s food price inflation slows to lowest level this year amid falling prices for staples
Overall, shop prices were 7.6 per cent higher in July than a year ago, slowing from 8.4 per cent in June, and also the lowest level this year
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.Food price inflation has slowed to its lowest level this year amid falling prices for staples such as oils, fish, and breakfast cereals, figures show.
Food inflation decelerated to 13.4 per cent in July, down from 14.6 per cent in June – the third consecutive slowing and its lowest level since December last year, according to the British Retail Consortium (BRC)-Nielsen Shop Price Index.
Overall, shop prices were 7.6 per cent higher in July than a year ago, slowing from 8.4 per cent in June, and also the lowest level this year.
Prices fell compared with June for the first time in two years.
These figures give cause for optimism, but further supply chain issues may add to input costs for retailers in the months ahead
BRC chief executive Helen Dickinson said: “Leading the cuts was clothing and footwear, where retailers mitigated wet weather with larger discounts.
“Food price inflation also slowed to its lowest level this year, with falling prices across key staples such as oils, fats, fish, and breakfast cereals.
“These figures give cause for optimism, but further supply chain issues may add to input costs for retailers in the months ahead.
“Russia’s withdrawal from the Black Sea Grain Initiative and subsequent targeting of Ukrainian grain facilities, as well as rice export restrictions from India, are dark clouds on the horizon.
“We expect some global commodity prices to rise again as a result, and food prices will be slower to fall.”
Shoppers continue to change how they shop as part of their coping strategies
Mike Watkins, head of retailer and business insight at NielsenIQ, said: “The summer holiday period should help discretionary spend a little and, whilst inflation remains high, the outlook is improving.
“Shoppers continue to change how they shop as part of their coping strategies. This includes shopping at different retailers, buying lower priced items, delaying spend or only buying when there are promotions.
“This behaviour looks set to continue.”
Subscribe to Independent Premium to bookmark this article
Want to bookmark your favourite articles and stories to read or reference later? Start your Independent Premium subscription today.