British shop price inflation in London has shown signs of slowing down this month, providing some relief for households that have been impacted by rising living costs and higher borrowing rates. According to a survey conducted by the British Retail Consortium (BRC), prices in supermarkets and retail chains increased by 8.4% in June compared to the same period last year. This represents a decrease from the 9% annual increase recorded in May, which was the highest rate since the BRC started keeping records in 2005.
This is the second time this year that shop price inflation has slowed, following a slight dip reported by the BRC in April. While food prices continued to rise at a slower pace for the second consecutive month, the 14.6% increase still puts significant strain on many families.
BRC CEO Helen Dickinson stated that if the current trend continues, food inflation is expected to drop to single digits later this year. Retailers have been reducing the prices of essentials such as milk, cheese, and eggs, as well as clothing and electrical goods.
Tesco, the largest retailer in Britain, recently announced that food inflation had reached its peak. The Bank of England also raised borrowing costs to their highest level since 2008 in an effort to combat inflation, which has been falling at a slower rate than anticipated.
Mike Watkins, Head of Retailer and Business Insight at NielsenIQ, which co-produces the data, mentioned that if global supply chain costs continue to decrease, it is possible that price increases have already reached their peak. However, he also suggested that households are likely to prioritize essential needs and delay discretionary consumption in order to save money for the rest of the year.
The BRC survey collected price data from June 1-7.
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Omprakash Tiwary is a business writer who delves into the intricacies of the corporate world. With a focus on finance and economic landscape. He offers readers valuable insights into market trends, entrepreneurship, and economic developments.
Denial of responsibility! Samachar Central is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
