Latest figures from the British Retail Consortium (BRC) confirm that shop price inflation continued to rise this month, driven by the soaring cost of food.
The BRC-Nielsen IQ Shop Price Index shows the overall year-on-year figure accelerated to 7.4% in November, up from 6.6% in October, to mark a record high since the index started in 2005.
Food inflation rose from 11.6% to a record 12.4%, driven by the surging cost of items such as eggs, dairy, meat, and coffee.
Fresh food inflation jumped to 14.3% in November, up from 13.3% the month before, whilst ambient food inflation rose from 9.4% to 10%.
The BRC’s Chief Executive Helen Dickinson noted that winter looks increasingly “bleak”, with rocketing energy costs and rising animal feed and transport expenses continuing to drive up food prices.
Meanwhile, non-food inflation rose from 4.1% to 4.8%, with Dickinson highlighting that Christmas gifting is set to be more expensive than in previous years.
She concluded: “While there are signs that cost pressures, and price rises, might start to ease in 2023, Christmas cheer will be dampened this year as households cut back on seasonal spending in order to prioritise the essentials.
“Retailers continue to do all they can to support their customers and ensure everyone can enjoy the festive season by fixing prices of many essentials, offering discounts to vulnerable groups, raising pay for their own people, and expanding their value ranges.”
