UK grocery inflation hits 14-month low, grocers continue to slash prices
U.K. grocery inflation has fallen to its lowest rate since July 2022, according to grocery research firm Kantar, as grocery chains nationwide continue to lower prices – including Aldi, the latest retailer to announce a fresh round of price cuts.
Kantar reported that food inflation in the U.K. fell for the seventh month in a row to 11 percent in September, but some research firms like the British Retail Consortium reported it plunged all the way down to 9.9 percent; simultaneously, take-home grocery sales rose by 9.1 percent.
“Grocery price inflation is still very high, but shoppers will be relieved to see the rate continuing to fall,” Kantar Strategic Insight Director Tom Steel said in a press release. “For the first time since last year, the prices of some staple foods are now dropping, and that’s helping to bring down the wider inflation rate.”
Grocery chains – including Tesco, Aldi, and Asda – making the decision to cut prices on thousands of products over the past year have helped to offset the impact of inflation, according to Steel.
“Supermarkets are looking at all the different ways they can deliver value at the tills, and while the emphasis for some time has been on everyday low prices, the retailers are starting to get the deal stickers out again,” Steel said.
Spending on promotions accounted for 26.5 percent of all sales over the past quarter – the highest level since Q2 of 2022, Steel added.
“Tesco, in particular, has been ...
Photo courtesy of Aldi