US EditionFood Inflation Rises for Fourth Consecutive Month
- On May 27, 2025, the British Retail Consortium highlighted that food price increases continued steadily for the fourth month in a row in the UK, while the overall cost of goods in stores remained stable during May.
- This continued rise in food inflation results from increasing wholesale meat prices, higher operating and statutory costs, and fresh food price increases driven by government tax and wage policies.
- Retailers face absorbing an additional £5 billion in costs from employer national insurance, living wage increases, packaging taxes, and new Employment Rights Bill requirements, while promotional activity tries to ease shopper costs.
- Food prices increased by 2.8% compared to the previous year in May, rising from 2.6% in April, while ambient food inflation slightly declined to 3.3%. Helen Dickinson noted that this marks the fourth month in a row that food inflation has continued to climb.
- The persistence of rising statutory costs suggests households may face tougher times ahead, and retailers may need to increase efforts to encourage spending amid potentially weak consumer confidence.
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Food inflation rises for fourth consecutive month
Food prices are now 2.8% higher than a year ago, up from April’s 2.6%, according to the BRC-NIQ Shop Price Index.
·London, United Kingdom
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