Financial News: UK Shop Price Inflation Accelerates In August: BRC

UK Shop Price Inflation Accelerates In August: BRC

08/26/2025 - 02:23:00 (RTTNews)

(RTTNews) - UK shop price inflation accelerated to the highest since early last year in August due to higher food prices, the British Retail Consortium reported Tuesday.

Shop price inflation rose to 0.9 percent in August from 0.7 percent in July. This was the highest since March last year.

The increase was driven by the annual rise in food inflation to 4.2 percent from 4.0 percent in July. Meanwhile, non-food prices declined 0.8 percent, following a 1.0 percent drop a month ago. Month-on-month, shop prices logged a steady growth of 0.2 percent in August.

The rise in shop price inflation adds pressure to families already grappling with the cost of living, BRC Chief Executive Helen Dickinson said.

NIQ Head of Retailer and Business Insight Mike Watkins said, "The uptick in prices reflects several factors: global supply costs, seasonal food inflation driven by weather conditions, the conclusion of promotional activity linked to recent sporting events, and a rise in underlying operational costs."

"As shoppers return from their summer holidays, many may need to reassess household budgets in response to rising household bills," Watkins added.

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