Surging UK Grocery Bills Threaten to Rekindle Inflation Fears

'We are not seeing inflation in our business,' Empire CEO says

Empire CEO Michael Medline rejected the idea of elevated grocery prices, saying inflation has remained stable for the company. Find out more

Surging UK Grocery Bills Threaten to Rekindle Inflation Fears

Surging grocery bills are threatening to slow the pace of the Bank of England’s interest-rate cuts by raising the risk that inflation will stay elevated even as the UK economy shows signs of sputtering.

The new price reality: Why 84% of consumers have seen rising costs and how brands must respond

84% of consumers have seen rising prices, 66% expect more – brands with smart promotions and clear value will win.

UK's Cost of Living Crisis Explained

UK inflation is running significantly higher than its main economic competitors. Inflation last month was 3.4%, compared to 1.9% in Europe, 0.9% in France and 2.4% in the US.

Surging UK Grocery Prices Threaten to Derail BoE Rate Cut Hopes

On Thursday, June 19, 2025, the Bank of England held interest rates steady at 4.25% in London amid renewed concerns over the UK grocery inflation trend, as Bloomberg reported on June 21. Consumer staples like butter, beef, and chocolate rose almost 20% year-on-year in May. It is the steepest increase in food prices since February 2024. The figures based on the UK Office for National Statistics have policy-makers alerting that inflation might lin…