Shop prices jump more than expected with beef and fish costs blamed on National Insurance rises
Why UK shop prices have risen by far more than expected
- Shop prices in the UK rose by 1.5% in January compared to a year earlier, a significant increase from December's 0.7%.
- This surge in shop inflation is primarily driven by high business energy costs and the recent hike in National Insurance contributions.
- Food inflation climbed to 3.9%, with fresh food items like meat, fish, and fruit seeing a 4.4% increase due to weak supply and strong consumer demand.
- Non-food inflation also rose to 0.3%, impacting categories such as furniture, flooring, and health and beauty products.
- Industry experts warn that these figures contradict suggestions that inflation has peaked, urging the government to address rising operating costs for retailers.