Grocery inflation continues to ease

Supermarket prices in the UK are still rising, but the rate of price growth has now fallen for the third month in a row.

Industry analyst Kantar found that in the four weeks to 11 June, like-for-like grocery price inflation dropped to 16.5% — its lowest level so far this year.

This is still the sixth highest monthly figure in the past 15 years.

Consumers are doing what they can to offset the impact of inflation, according to Fraser McKevitt, head of retail and consumer insight at Kantar Worldpanel.

For example, many have switched to the cheapest own-label lines. Total spending on these value ranges has increased by 41% compared to last year and retailers have responded by expanding their lowest price offerings to meet demand.

Spending has also shifted towards meals that are cheaper to prepare and cook.

“People are thinking more and more about what they eat and how they cook as the cost of living crisis takes its toll on traditional behaviours,” McKevitt explained.

“The most prominent change we’ve seen is that people are preparing simpler dishes with fewer ingredients. Our data shows that the public are turning away from their oven and increasingly using microwaves, which reflects the shift to simpler cooking. There were 4% fewer meals made using an oven according to our most recent 12-week data compared to the same period last year, while microwaved meals rose by 8%. We also saw a reduction in hob use and a rise in food prepared with toasters and grills.”