Food inflation falls at last
Food inflation has fallen for the first time this year, according to the BRC-Nielsen Shop Price Index. Promotional activity by retailers has been credited for the fall in price increases.
Food prices show a month on month fall of 0.3 per cent, with non-food prices dropping by 0.5 per cent. Year-on-year figures still show food as up by 7.9 per cent.
“There’s some good news about prices in these figures. Heavy discounting left non-food goods nearly two per cent cheaper than a year ago and annual food inflation is at its lowest this year. With food cheaper than a month ago, the worst of food price inflation may be over, thanks to a more stable value for the pound but rising farmgate prices for meat and some vegetables are the main factors working against retailers’ attempts to keep overall shopping bills down,” says BRC director general Stephen Robertson.
