UK households paying an extra £833 on groceries as food inflation remains high

Shoppers are paying an extra £833 a year on their food bills as grocery inflation remains sky-high.

Prices over the four weeks to 14 May were 17.2% higher than a year ago, down from April’s 17.3%, data firm Kantar reported.

It means that the average household’s annual grocery bill remains around £833 higher than before inflation began to soar last year.

The slightly lower inflation figure does not mean prices are going down — prices are still rising, just at a slightly slower pace than before.

Kantar’s analysis focuses solely on the cost of food and does not include "ambient" goods such as tea and coffee.

It found that the average cost of four pints of milk has come down by 8p since last month, but is still 30p higher than this time last year at £1.60.

But Kantar added that prices were still much higher than they were 12 months ago, at £1.60 currently compared to £1.30.

Ingredients like chilled pastry, meanwhile, surged by 89%, with fresh cream sales jumping by 80% and frozen broad beans by 57%.

Kantar also said that more consumers are turning to supermarket own-brand products in a bid to keep their bills under control. Sales of the cheapest own-label products soared by 15.2% over the past month, almost double the 8.3% increase seen for branded products.

Aldi’s 24% sales increase made it the fastest-growing grocer this month, while Lidl’s sales increased by 23.2%.

Read more: UK households lost £5,455 to inflation in the last two years

Fraser McKevitt, Kantar's head of retail and consumer insight, said: "The drop in grocery price inflation, which is down by 0.1 percentage points on last month's figure, is without doubt welcome news for shoppers but it is still incredibly high — 17.2% is the third fastest rate of grocery inflation we've seen since 2008.

“This could add an extra £833 to the average household's annual grocery bill if consumers don't shop in different ways.”

Despite the price pressures, consumers spent an extra £218m on groceries during the week of the coronation, with sales of wine and quiche soaring.

Chancellor Jeremy Hunt is stepping up pressure on the grocery sector to rein in soaring prices.

Hunt will meet with representatives from the industry this Tuesday to raise concerns over rampant food inflation.

Read more: UK inflation set to fall back into single digits

The Treasury said that the chancellor would “ask food manufacturers to do what they can to support consumers”, as well as look at reforms to pricing rules that would allow consumers to compare the prices of similar products more easily.

The Resolution Foundation said on Friday that food prices would continue to rise even as energy costs are set to fall.

Rocio Concha, Which? director of policy and advocacy, said: “Food inflation remains at unsustainable levels and soaring prices are putting intolerable pressure on household budgets for millions of people. Which? hears every day from desperate parents or people on low incomes who are already resorting to extreme measures like skipping meals in order to provide for their loved ones.

“It’s good news the government has committed to reviewing pricing rules, but this must be undertaken as soon as possible as much clearer pricing is vital in enabling shoppers to compare prices and find the best value products. Supermarkets should also be making it easier for people by urgently committing to stocking essential budget ranges in all their stores, particularly in areas where people are most in need.”

Food and non-alcoholic drink inflation was measured at 19.1% by the Office for National Statistics (ONS) in March. That was the highest level since August 1977.

Watch: Grocery inflation eases for second consecutive month

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