Cost of family shop jumps as UK food prices surge
By Benjamin Chiou
Date: Tuesday 29 Jul 2025
(Sharecast News) - The family shop in the UK got more expensive in July as food inflation accelerated for the sixth straight month, with staples under the most pressure as wholesale prices are driven up by global supply problems.
The British Retail Consortium's shop price monitor found that prices at UK tills were 0.7% higher than a year ago in July.
That followed 0.4% annual growth in June, a 0.1% increase in May and a 0.1% fall in April.
Non-food prices were 1.0% lower than last July, with deflation easing from -1.2% in June, with the BRC noting discounts in categories like fashion and furniture.
However, food inflation picked up strongly to 4.0% from 3.7%. Fresh food inflation was flat at 3.2% but ambient food inflation surged to 5.1% from 4.3%, with regular purchases like meat and tea "hit the hardest" by rising wholesale prices, according to BRC chief executive Helen Dickinson.
"If the government wants to support struggling families, it must think carefully about the next Budget. Retailers are doing everything possible to protect their customers from the worst of the inflationary pressures, but the £7bn cost to retail of last year's Budget forced most retailers to raise prices," Dickinson said.
"Further tax rises will ultimately hurt households, locking in inflation and forcing people to pay higher prices to put food on the table."
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