After a tough 2022, British consumers are facing an even tighter squeeze on their finances this year. Inflation is running at 10.5%, mortgage rates are rising and the government is cutting back support on household energy bills.
NielsenIQ said UK grocery sales on a value basis rose 7.6% in the four weeks to Jan. 28, due to an increase in food price inflation to 13.8%.
However, volume sales fell 6.9% – the lowest volume growth recorded in over nine months, which reflects the concern shoppers have about cost-of-living increases, it said.
“We expect a challenging first quarter for the grocery industry, with inflation very much top of mind for shoppers,” Mike Watkins, NielsenIQ’s UK head of retailer and business insight, said.
Read more at Reuters