Financial News: UK Shop Price Inflation Accelerates: BRC

UK Shop Price Inflation Accelerates: BRC

01/06/2026 - 00:38:00 (RTTNews)

(RTTNews) - UK shop price inflation accelerated in December due to higher increase in food prices, the British Retail Consortium said on Monday.

The shop price index posted an annual growth of 0.7 percent in December, following an increase of 0.6 percent in November. This was in line with the three-month average of 0.7 percent. Non-food prices dropped 0.6 percent from the previous year, the same rate of decline as seen in November.

In contrast, food inflation advanced to 3.3 percent from 3.0 percent in November. Fresh food inflation rose to 3.8 percent from 3.6 percent a month ago.

Retailers will continue to do all they can to keep prices down this year, BRC Chief Executive Helen Dickinson said.

"While falling energy prices and improved crop supply should help ease some cost pressures, increased public policy costs and regulation will likely keep inflation sticky," said Dickinson.

"Looking ahead to 2026, although inflation has peaked, weak shopper sentiment is likely to persist, so shoppers will continue to seek out lower prices and promotional offers," NIQ Head of Retailer and Business Insight Mike Watkins said.

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