Price of residing: Food inflation slows in May – however nonetheless rises 15.4% year-on-year

Food inflation within the UK has slowed from April’s record-breaking rise – however remains to be up greater than 15% on the yr, new retail figures present.

Research by the British Retail Consortium (BRC) and Nielsen reveals a 15.4% rise in meals inflation within the yr to May.

It is the second-fastest annual improve that the BRC – the commerce organisation for UK retailers – has ever measured.

However, it’s down barely in comparison with April’s record-breaking improve of 15.7%.

The group’s chief government, Helen Dickinson, mentioned there was motive to imagine meals inflation “might be peaking”.

However, the slowing of meals inflation didn’t end in a slow-down of total inflation in outlets.

That rose from 8.8% to a report 9% between April and May, the BRC mentioned.

“While overall shop price inflation rose slightly in May, households will welcome food inflation beginning to fall,” Ms Dickinson mentioned.

Read extra:
Spending calculator – See which costs have gone up or down
Food inflation hits one other report excessive as stress mounts on house funds
Inflation eases however nonetheless stays above 10% as meals prices at 45-year excessive

She mentioned the slowing was possible a results of decrease power and commodity prices starting to filter via to decrease costs on some staples, similar to butter, milk, fruit, and fish.

However, she warned the federal government in opposition to plans to introduce new worth caps on important objects.

The warning comes after it was reported that Downing Street was drawing up plans to encourage supermarkets to introduce voluntary worth caps on meals staples in a bid to assist with the price of residing disaster.

Click to subscribe to the Sky News Daily wherever you get your podcasts

“While there is reason to believe that food inflation might be peaking, it is vital that Government does not hamper this early progress by piling more costs onto retailers and forcing up the cost of goods even further,” Ms Dickinson mentioned.

Mike Watkins, head of retailer and enterprise perception at NielsenIQ, mentioned: “To help mitigate the impact of inflation, shoppers are saving money by looking for seasonal promotions on the high street and taking advantage of the price reductions offered by supermarket loyalty schemes.

“Food retailing in particular is competitive, so hopefully the recent price cuts in fresh foods is a sign that inflation has now peaked, albeit ambient inflation may take a little while longer to slow.”

It comes after Chancellor Jeremy Hunt backed rate of interest hikes, even when they danger of plunging the UK into recession, with the intention to fight hovering inflation.

Experts have additionally beforehand warned that alarmingly costly meals is ready to overhaul power payments because the “epicentre” of the price of residing disaster.