Food inflation jumps to 18-month high with these items seeing a price rise
Why food inflation is increasing as households feel squeeze
- Food inflation in the UK accelerated to 4.2 per cent in August, up from 4 per cent in July, marking the highest rate since February 2024.
- This surge was primarily driven by increased costs for chocolate, butter, and eggs, with fresh food inflation specifically rising to 4.1 per cent due to higher dairy prices.
- The British Retail Consortium (BRC) warned that these escalating food prices are adding significant pressure on families already grappling with the cost of living crisis.
- Contributing factors include global supply costs, seasonal weather conditions, the end of promotional activities, and rising operational expenses, with the Bank of England also citing national insurance contributions.
- Retail bosses have cautioned the Chancellor against further tax increases, anticipating that food and drink inflation could reach 6 per cent later this year.