London Daily

Focus on the big picture.
Sunday, Jul 26, 2026

UK food price rises could hit 15% over summer, report says

UK food price rises could hit 15% over summer, report says

Ukraine war, China lockdowns and Brexit help push up inflation, with products that rely on wheat worst hit
Food price rises in the UK could hit 15% this summer – the highest level in more than 20 years – with inflation lasting into the middle of next year, according to a report.

Meat, cereals, dairy, fruit and vegetables are likely to be the worst affected as the war in Ukraine combines with production lockdowns in China and export bans on key food stuffs such as palm oil from Indonesia and wheat from India, the grocery trade body IGD warns.

Products that rely on wheat, such as chicken, pork and bakery items, are likely to face the most rapid price rises as problems with exports and production from Ukraine, a big producer of grain, combine with sanctions on Russia, another key producer.

The report suggests inflation will last at least until next summer but could persist beyond that as a result of a range of factors such as additional key agricultural countries introducing export bans, trade disruption connected to Brexit, unfavourable weather in the northern hemisphere or further weakening of sterling.

The report says Britain’s food and consumer goods industry is “uniquely exposed to current pressures due to a reliance on food imports and the impacts of EU exit”.

It says the new regime has added to costs through additional administration at the EU border and other legislation changes – as well as labour shortages prompting higher wages for farmers and food producers.

James Walton, the chief economist at IGD, said: “From our research, we are unlikely to see the cost of living pressures easing soon. This will undoubtedly leave many households – and the businesses serving them – looking to the future with considerable anxiety. If average food bills go up 10.9% in a year, a family of four would need to find approximately £516 extra a year. We are already seeing households skipping meals – a clear indictor of food stress.

“We expect the mood of shoppers to remain bleak for the foreseeable future as they are impacted by rising inflation and a decline in real wages. Shoppers are likely to dial up money-saving tactics as far as possible.”

Changes in behaviour, such as switching to supermarkets’ own-label products or searching for bargains at discount chains, mean the inflation experienced by households may be closer to 9%.

However, soaring food bills will only add to pressures on household budgets as average UK wages fall at the fastest rate in two decades, while energy and petrol costs increase to deliver the highest overall rate of inflation since the 1970s.

One in seven lower-income households say they are missing more meals, while higher-income households are more likely to plan their shopping to keep a lid on spending.

Problems with availability of some goods, such as sunflower oil, were likely to persist this year, affecting sales performance for retailers and upsetting shoppers, it said.
Newsletter

Related Articles

0:00
0:00
Close
Following OpenAI's Cyberattack: 'Most Companies Still Do Not Understand What Is Coming'
Autopsy Finds No Violence in Death of Epstein-Linked Model Scout
Indian Education Minister Resigns After Cockroach Youth Protests
California Desert Data-Centre Plan Stalls as Water and Power Disputes Mount
Northern Ireland Border Security Tightened After Military-Grade Explosive Interception
British Hospitality Sector Targets Summer Visitors Through Regional Promotions
England River Access Debate Intensifies After New Data Shows Limited Public Access
Royal Navy Strengthens Maritime Vigilance Amid Rising Security Concerns
UK Education Department Expands Mental Health Support for Young People Entering Work
UK Tourism Industry Launches Summer Campaigns to Boost Domestic Travel
North England Transport Plans Advance to Support Industrial Growth
Financial Markets Watch New Government’s Economic Strategy as Investors Assess Fiscal Risks
Royal Navy Continues Monitoring Russian Naval Activity Near UK Waters
UK Care Workers May Receive Immigration Exemptions Under Proposed Visa Changes
Health Secretary Yvette Cooper Begins Emergency Talks to Address NHS Staffing Shortages
UK Banks Launch High-Interest Savings Offers to Attract Household Deposits
North Sea Oil Drilling Projects Face Delays After Offshore Equipment Accident
Cairngorms Wildfire Highlights Growing Pressure on UK Emergency Services
UK Government Borrowing Plans Put Pressure on Ten-Year Gilt Markets
Royal Navy Aircraft Carrier HMS Prince of Wales Returns After NATO Northern Flank Mission
Metropolitan Police Opens Criminal Investigation Into Reform UK Political Donations
Scottish Government Requests Military Support as Cairngorms Wildfire Forces Emergency Response
Andy Burnham Takes Office as UK Prime Minister and Unveils New Cabinet Team
War, Youth Revolt and the Global Struggle for Control
War, Power and the Rising Price of Political Decisions
High Street Sales Suffer Sharpest Summer Decline in Five Years
Wales Approves Higher Taxes on Second Homes and Long-Term Empty Properties
Environment Agency Imposes Record £150 Million Penalty on Water Companies
UK Competition Watchdog Blocks U.S. Takeover of Cambridge Chip Designer
Scotland Unveils Land Reform Bill to Expand Renewable Energy Projects
Northern Ireland Secures £500 Million Technology Investment for Belfast Cybersecurity Hub
NHS Rolls Out AI Triage System Across Major Hospitals in England
UK Strengthens North Sea Naval Cooperation With European Allies
UK Chancellor Commits £7 Billion to Accelerate Manchester-Leeds Rail Link
Bank of England Signals Interest Rate Cuts After Inflation Falls Below Target
Badenoch Rejects Grant Shapps' Bid to Return as Conservative Candidate
BAE Chief Warns Britain Has Underestimated the Risk of War
Burnham Rules Out New Scottish Independence Referendum in First Talks With Swinney
UK Government Strengthens Northern Economic Agenda Through Manchester Headquarters and Regional Partnerships
United Kingdom Opens New Furness Peninsula Coastal Route Under King Charles the Third England Coast Path
England Reduces Business Costs for Hospitality Sector Through New Relief Package
United Kingdom Allocates Seven Point Three Million Pounds for Zero-Emission Aviation Research
United Kingdom Begins Restoration Works on Portishead Railway Line After Six Decades Without Passenger Services
United States Tariff Measures Create New Trade Challenges for United Kingdom and European Union Businesses
Prime Minister Andy Burnham Meets Scottish and Welsh Leaders to Promote Regional Growth Cooperation
United Kingdom Government Announces Twenty Percent Business Rates Cut for Pubs, Clubs, and Music Venues
Prime Minister Andy Burnham Opens Manchester Government Headquarters to Shift Decision-Making Away From Westminster
United Kingdom Defence Ministry Says Armed Forces Ready After Iran Accuses London Over US Military Strikes
United Kingdom Inflation Falls to Two Point Six Percent as Prime Minister Andy Burnham Gains Economic Breathing Room
OpenAI Sued After ChatGPT Allegedly Discouraged Emergency Care Before Near-Fatal Embolism
×