Financial News: UK Shop Price Inflation Accelerates

UK Shop Price Inflation Accelerates

01/27/2026 - 08:07:00 (RTTNews)

(RTTNews) - UK shop prices increased at a faster pace in January largely due to higher energy costs and the increase in employers' national insurance contributions, the British Retail Consortium said Tuesday.

Shop price inflation advanced to 1.5 percent in January from 0.7 percent in December.

Non-food prices grew 0.3 percent from a year ago, in contrast to the 0.6 percent decline in December. At the same time, food inflation rose to 3.9 percent from 3.3 percent in the prior month.

"Any suggestion that inflation has peaked is simply not borne out by these figures. Shop price inflation jumped this month due to high business energy costs and the hike to National Insurance continuing to feed through to prices," BRC Chief Executive Helen Dickinson said.

Further, Dickinson noted that meat, fish and fruit were particularly affected, also reflecting weak supply and stronger demand, while non-food categories, including furniture, flooring, and health and beauty, all saw inflation rise.

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