30th Apr 2024 04:59
(Alliance News) - Shop price inflation eased in April, as non-food inflation entered deflation, the British Retail Consortium reported on Tuesday.
According to BRC, UK shop price annual inflation eased to 0.8% in April, ebbing from 1.3% in March. This is below the 3-month average rate of 1.4% and marks the lowest shop price annual growth since December 2021.
Non-food entered deflation, falling by 0.6% in April, down from 0.2% growth in the preceding month. This is below the 3-month average rate of 0.2%.
Food inflation decelerated to 3.4% in April, down from 3.7% in March. This is below the 3-month average rate of 3.9% and is the 12th consecutive deceleration in the food category.
"One year on from the peak, shop price inflation levels are showing signs of normalising, providing relief to households. Both food and non-food have seen shop inflation rates ease to more manageable levels. In April, non-food prices fell, especially in clothing and footwear, where retailers ramped up promotions to encourage consumer spend. Food inflation slowed for the 12th consecutive month, as fresh products such as butter, fish and fruits, continued to fall in price due to easing input costs and intense competition between grocers," said Helen Dickinson, chief executive of the British Retail Consortium.
"While consumers will welcome the lower shop price inflation, geopolitical tensions and the knock-on impact on commodity prices, like oil, pose a threat to future price stability. Retailers will continue to do all they can to keep prices down, but government has a role to play with pro-growth policies that allow businesses to invest in the customer offer."
By Sophie Rose, Alliance News senior reporter
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