RESEARCH SUGGESTS FOOD PRICES ARE RETURNING TO NORMAL – Grocery price inflation has fallen to 2.4%
Food price rises are returning to “more normal” rates, research suggests, although shoppers are still seeking out cheaper own-brand goods.
Grocery price inflation – the rate at which prices increase – has fallen to 2.4%, according to research firm Kantar, the lowest since October 2021.
The findings come ahead of official figures due on Wednesday which are expected to show a sharp drop in overall inflation.
The easing of price rises has raised expectations that the Bank of England will cut interest rates this summer.
Kantar said that despite the easing of food price rises, shoppers were still following money-saving habits.
Sales of premium own-label ranges remained popular, up by 9.9% from a year earlier.
Kantar also said it expected summer sports events such as the Euro 2024 men’s football tournament and the Olympic Games to boost sales, especially alcoholic drinks.
