Summary
New research shows that food prices have risen for six months in a row, mainly because of higher meat and tea costs. Food prices went up by 4% in the year to July, with inflation also affecting other grocery items. Factors like avian flu and fewer chickens have increased meat prices, but stores are trying to avoid passing all costs to customers.
Key Facts
- Food prices rose by 4% in the year to July, up from a 3.7% increase in June.
- Meat and tea prices have gone up due to tighter global supplies and higher wholesale prices.
- Fresh food inflation, including fruits and vegetables, was at 3.2%, while cupboard goods inflation rose to 5.1% by July.
- Chicken prices increased from £2.85 to £5.50 per kilo due to avian flu and reduced chicken numbers per shed.
- Households may see grocery bills rise by £275 a year, according to separate research.
- The UK's overall inflation rate, measured by the Consumer Price Index, was at 3.6% in June.
- Separate study saw food prices rising by 5.2% over the past year, with chocolate, butter, and fresh meat leading the increases.
