Latest news with #FraserMcKevitt
Yahoo
5 days ago
- Business
- Yahoo
UK grocery inflation jumps to highest level in 15 months
Grocery price inflation in the UK jumped to 4.1% in the past month – the highest level since February 2024 – driven by the rising cost of butter, chocolate and sun cream, as Britons fired up the barbecue during a warm spring. Shoppers are increasingly searching out discount deals and turning to supermarket own-label products to help manage their budgets, according to analysts at Kantar, as the pace of price rises stepped up from the 3.8% reported in April. Fraser McKevitt, the head of retail and consumer insight at Kantar, said: 'Households have been adapting their buying habits to manage budgets for some time, but we typically see changes in behaviour once inflation tips beyond the 3% to 4% point as people notice the impact on their wallets more.' The discounter chains benefited from the search for bargains, with Aldi and Lidl enjoying their strongest period of combined growth since January 2024 at 8.4%. Lidl's sales rose almost 11%, making it the fastest growing physical grocer, to reach a new market share high of 8.1% – putting it within a whisker of overtaking Morrisons to become the UK's fifth largest supermarket. The chain drew 419,000 extra shoppers through its doors compared with last year – the most of any retailer. Aldi also reached a record high share of the market at 11.1% after sales rose 6.7%, its fastest growth rate since the start of last year. In contrast, Asda continued to struggle, remaining the only supermarket to record a drop in sales, down 3.2%. Despite this being its best performance in a year, its market share fell to 12.1%, only one percentage point more than Aldi. The chain was outperformed by the upmarket rival Marks & Spencer, where spending on groceries rose by 12.3% despite its recent difficulties caused by a cyber-attack. The Co-op increased its sales by 0.6% despite similar problems that have hit the availability of products in stores. Overall spending rose slightly ahead of inflation as shoppers snapped up burgers, salads and coleslaw during the hottest ever start to May. McKevitt said: 'We've been firing up the barbecues a bit earlier than last year, with chilled burgers flying off the shelves and sales growing by 27%.' The warm spring also helped sales at the DIY chain B&Q. The group's owner, Kingfisher, said sales at established B&Q stores rose almost 8% in the three months to 30 April, helped by 'strong seasonal sales', such as garden plants and furniture, as well as growth in big-ticket items, such as kitchens. The stronger-than-expected figures – the chain's best growth figures since 2021 during the pandemic boom in DIY and gardening – suggested that consumer confidence is holding up in the UK despite fears about the wider economy. However, Kingfisher said 'sentiment remains mixed' across its markets, which include France and Poland as well as the UK. Sign in to access your portfolio
Daily Mail
6 days ago
- Business
- Daily Mail
Food price spike piles on the pain for households already being squeezed by higher bills
Grocery price inflation has hit its steepest level since February last year. Prices in the four weeks to May 18 were up by 4.1 per cent compared to the same period a year ago, according to data from market research firm Kantar. That was up from 3.8 per cent last month. The rise in employer National Insurance Contributions and the minimum wage are among factors driving prices higher. Chocolate, sun cream, and butters and spreads rose fastest while pet food dipped the most. Fraser McKevitt, from Kantar, said: 'This latest jump in grocery price inflation takes us into new territory for 2025. 'Households have been adapting buying habits to manage budgets for some time, but we typically see changes in behaviour once inflation tips beyond 3 per cent to 4 per cent as people notice the impact on their wallets more.' McKevitt said many consumers were seeking promotions to get the best value. Figures last week showed inflation rose to 3.5 per cent in April, the highest level in more than a year.
Daily Mail
6 days ago
- Business
- Daily Mail
UK supermarket food inflation hits highest annual rate since May 2024
Grocery price inflation jumped to 4.1 per cent for the four weeks to 18 May, its highest level since February last year, data from market researcher Kantar reveals. The figure compared to grocery price inflation of 3.8 per cent in Kantar's report last month. Grocery sales in the period rose 4.4 per cent year-on-year. Kantar said prices were rising fastest in chocolate confectionery, suncare and butters and spreads and were falling fastest in dog food, cat food and household paper products. Retailers have warned that employer tax rises imposed in the Labour's first Budget, together with another rise in the national minimum wage and a new packaging levy, will be inflationary. Industry researcher the Institute of Grocery Distribution has forecast that food inflation could hit nearly 5 per cent this year. Fraser McKevitt, head of retail and consumer insight at Kantar, said: 'Households have been adapting their buying habits to manage budgets for some time, but we typically see changes in behaviour once inflation tips beyond the 3 per cent to 4 per cent point as people notice the impact on their wallets more.' He added: 'Own-label lines are ones to watch, with premium own-label in particular being the fastest-growing part of the market since September 2023.' Kantar said customers' spending on deals was up by 5.1 per cent on May last year as prices rise. But, May's hot weather also saw Britons sending sales of chilled burgers up 27 per cent, potato salad up 32 per cent, and coleslaw and prepared salads up by 19 per cent each. Sales of sun cream were up 36 per cent, Kantar said. Latest shopping basket figures suggest consumers are increasingly shaping their diets around health, wellbeing and exercise, with sales of sports nutrition products surging 45 per cent over the past five months compared with the same period last year. Ocado fastest growing supermarket Ocado marked a full year as Britain's fastest-growing grocer, Kantar said. Over the 12 weeks to 18 May, sales at Ocado climbed 14.9 per cent, according to the data. Tesco boosted its sales by 5.9 per cent to increase its share to 28 per cent of the market, while sales growth at Sainsbury's accelerated by 4.7 per cent to give it a 15.1 per cent share. Despite high-profile cybersecurity incidents recently, spending on groceries at Marks & Spencer rose by 12.3 per cent, while Co-op increased sales by 0.6 per cent to take 5.3 per cent of the market.
South Wales Guardian
7 days ago
- Business
- South Wales Guardian
Grocery price inflation surges to 4.1%
The figure is a marked rise from last month's 3.8%, and takes the UK into 'new territory', analysts Kantar said. Prices are rising fastest in markets such as chocolate confectionery, suncare, and butters and spreads, and are falling fastest in dog food, cat food and household paper products. Fraser McKevitt, head of retail and consumer insight at Kantar, said: 'This latest jump in grocery price inflation takes us into new territory for 2025. 'Households have been adapting their buying habits to manage budgets for some time, but we typically see changes in behaviour once inflation tips beyond the 3% to 4% point as people notice the impact on their wallets more. 'Own-label lines are ones to watch, with premium own-label in particular being the fastest-growing part of the market since September 2023.' Kantar said customers' spending on deals was up by 5.1% on May last year as prices rise. However, May's hot weather also saw Britons sending sales of chilled burgers up 27%, potato salad up 32%, and coleslaw and prepared salads up by 19% each. Sales of sun cream were up 36%. Meanwhile, latest shopping basket figures suggest consumers are increasingly shaping their diets around health, wellbeing and exercise, with sales of sports nutrition products surging by 45% over the past five months compared with the same period last year. Ocado marked a full year as Britain's fastest-growing grocer, with sales climbing by 14.9%. Aldi and Lidl achieved their strongest combined growth since January 2024 at 8.4%, with Lidl reaching a new market share high of 8.1% with sales up by 10.9% and Aldi's hold of the market reaching a record high at 11.1% with sales rising by 6.7%. Tesco boosted its sales by 5.9% to increase its share to 28% of the market, while sales growth at Sainsbury's accelerated by 4.7% to give it a 15.1% share. Despite high-profile cybersecurity incidents recently, spending on groceries at Marks & Spencer rose by 12.3%, while Co-op increased sales by 0.6% to take 5.3% of the market.
Rhyl Journal
7 days ago
- Business
- Rhyl Journal
Grocery price inflation surges to 4.1%
The figure is a marked rise from last month's 3.8%, and takes the UK into 'new territory', analysts Kantar said. Prices are rising fastest in markets such as chocolate confectionery, suncare, and butters and spreads, and are falling fastest in dog food, cat food and household paper products. Fraser McKevitt, head of retail and consumer insight at Kantar, said: 'This latest jump in grocery price inflation takes us into new territory for 2025. 'Households have been adapting their buying habits to manage budgets for some time, but we typically see changes in behaviour once inflation tips beyond the 3% to 4% point as people notice the impact on their wallets more. 'Own-label lines are ones to watch, with premium own-label in particular being the fastest-growing part of the market since September 2023.' Kantar said customers' spending on deals was up by 5.1% on May last year as prices rise. However, May's hot weather also saw Britons sending sales of chilled burgers up 27%, potato salad up 32%, and coleslaw and prepared salads up by 19% each. Sales of sun cream were up 36%. Meanwhile, latest shopping basket figures suggest consumers are increasingly shaping their diets around health, wellbeing and exercise, with sales of sports nutrition products surging by 45% over the past five months compared with the same period last year. Ocado marked a full year as Britain's fastest-growing grocer, with sales climbing by 14.9%. Aldi and Lidl achieved their strongest combined growth since January 2024 at 8.4%, with Lidl reaching a new market share high of 8.1% with sales up by 10.9% and Aldi's hold of the market reaching a record high at 11.1% with sales rising by 6.7%. Tesco boosted its sales by 5.9% to increase its share to 28% of the market, while sales growth at Sainsbury's accelerated by 4.7% to give it a 15.1% share. Despite high-profile cybersecurity incidents recently, spending on groceries at Marks & Spencer rose by 12.3%, while Co-op increased sales by 0.6% to take 5.3% of the market.
