You are here: Home - Saving & Banking -

Food prices set to bottom out

Written by:
British shop price inflation picked up slightly in August, to a 1.1% year-on-year rate, according to the latest data released by the British Retail Consortium (BRC).

That as non-food costs dropped at a slightly lesser rate when compared with prices a year ago, of -0.1% versus -0.3% in July. The pace of food inflation, on the other hand, remained steady, increasing at a 3.1% clip.

For Stephen Robertson, BRC Director General: “For all the talk of food prices erupting, August’s food inflation was no higher than the previous month’s two-year low of 3.1%.

“But with price pressures from global commodities in the pipeline, this is likely to be food inflation bottoming out.

“The price of products such as bread and pasta is already rising more quickly as increasing wheat costs from poor harvests in the USA filter through. We are likely to see more of that effect not less in future months.

“But intense retail competition in the face of falling disposable incomes, will continue to protect customers from the worst effects of these rising costs.

“More good news is that non-food goods are cheaper than they were a year ago for the seventh month in a row, as retailers cut prices to generate much needed sales.”


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Which ISA is right for you? A round up of the six products available in 2017

From cash to innovative finance to lifetime, here's our guide to the ISA products available to savers this yea...

Guide to buy-to-let tax changes

In late 2015, former Chancellor George Osborne announced a range of  tax measures aimed at landlords, which t...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Five fund tips for a 0.25% interest rate environment

With interest rates stuck at a record low 0.25% and expectations rates could fall to close to zero, here are ...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Investing your money

Alliance Trust Plc gives you smart insight into how to invest your money

Money Tips of the Week

Read previous post:
UK shares dip after overnight losses in Asia

UK shares were once again lower this morning, extending yesterday's sharp losses as falls in Asia overnight impacted confidence.