Latest news with #KantarWorldpanel
Irish Times
10 hours ago
- Business
- Irish Times
Grocery prices are still soaring. How can that be?
Early this month the latest data from retail analysts Kantar Worldpanel confirmed what almost anyone who has gone shopping in Irish supermarkets in recent months knows all too well: the cost of living crisis is not over and things are actually getting worse. Its monthly research showed that the rate at which grocery prices are climbing in Ireland has more than doubled in the past 12 months, with prices in supermarkets going up at a rate of 4.96 per cent compared with the same 12-week period last year. When Kantar went shopping this time last year, the annualised rate of inflation it recorded was closer to 2.5 per cent. There are – of course – several ways to look at these numbers. READ MORE Grocery inflation of 4.9 per cent is undoubtedly worse than a rate of 2.5 per cent but it is dramatically better than the rate of about 17 per cent Kantar ecorded at the height of the crisis in early summer 2023. Shoppers might be forgiven, then, for thinking that things are better than they once were. But that would be quite wrong. [ Consumer despair at food inflation: 'Working people can't afford to eat in one of the supposedly richest countries in the world' ] [ Supermarket prices up almost 5 per cent in 12 months new data shows Opens in new window ] For a household that spends €200 a week on groceries, a 5 per cent increase is costing them an extra €500 a year. But that 5 per cent comes on top of – and not instead of – all the other savage spikes that have been recorded over the past four years. That means many families are now down about €3,000 on 2021 on their supermarket spending alone. Every couple of months since early 2022, when the cost of living crisis started in earnest, Pricewatch has been tracking the price of a basket of 25 items typically found in Irish supermarket shops. When we last did out supermarket sweep, in April, the basket that once cost €87.06 cost us €115.93, a jump of 33 per cent. We had a look at just five of the products last week. Brennans Bread, which cost €1.87 in 2022, costs €1.99 now. A two-litre carton of Avonmore milk, which cost €1.99, now costs €2.69. A 200g jar of Nescafé coffee, which cost €6.50, is now €7.15. A kilogramme of chicken breasts that could have been bought for €4.99 then, costs €11 now; and a kilogramme of sirloin steak that cost €10.66 was selling for €22.56 last week. Someone buying just these five items every week will spend €45.39, which, spread over the course of the next 12 months will cost €2,360.28. By contrast, the weekly spend on these items in 2022 was €26.01 or €1,352.52. What is going on? According to the Central Statistics Office (CSO), the consumer price index has climbed by just over 20 per cent over the past four years while grocery prices have climbed by closer to 40 per cent. Oliver Browne, a lecturer in the UCC economics department, has a personal and professional interest in how we spend our money and the globalisation of markets around food in particular and how that affects our daily lives. He is self-deprecating when talking about the role economists play in discussing what might be coming down the tracks, and recalls Dara Ó Briain once roasting a professor of economics who happened to be sitting in the front row of one of his shows. 'He basically said economics was the wishy-washiest of all the sciences and one which explains to people why something has happened after it has happened but we won't tell you it is going to happen beforehand.' For all its failings, it is a useful guide to working out where we are and where we might be going. Browne says we are in the middle of a perfect storm and almost everything that could go wrong – from wars in Ukraine and Gaza to the climate crisis and the dizzying uncertainty caused by the Trump tariffs – has gone wrong. [ Tariffs Q&A: How will Irish consumers be affected? Opens in new window ] On top of all the global uncertainty there are also severe pressures closer to home, he adds, including a lingering Brexit hangover, the housing crisis, a significant increase in the minimum wage – up from €10.20 and hour to €13.50 (an increase of 32 per cent) and dramatically higher energy costs – up more than a third over the past four years. He notes that the Irish herd has been reduced significantly so the country can meet its climate change targets, which has put pressure on dairy and beef prices at home. 'Often the price of the food that is exported stays the same and, to make things balance, the price has to give somewhere and that tends to be here. We tend to try and keep our image up abroad for the sake of trades as opposed to keeping prices sustainable here.' He says many of the products that frequently find their way into our shopping trollies, including wheat, coffee and cocoa, are commodities traded on global markets and when they climb on international markets they climb in our supermarkets too. At the height of the crisis there were calls for the State to do something to help consumers with their weekly shopping and the Competition and Consumer Protection Commission conducted an investigation into pricing in Irish supermarkets that found no evidence of price gouging or profiteering. Browne says retailers' profit margins are fairly thin but he also notes that those margins can be manufactured to a degree. It is in the retail chains' interest to ensure it 'doesn't ever look like they're making too much money. Their cash flow is extremely good and their executives are extremely well paid. They're not doing badly by any means but there's an expectation within the markets that these companies operate on low margins.' [ Cost of living: 'You are going to see €5 lattes in Ireland by the end of the year' Opens in new window ] While there is no suggestion of any wrongdoing – it is a normal way of doing business – and there was no evidence of wrongdoing uncovered by the watchdog, consumers are still paying over the odds for many products. Browne is against the State exerting pricing controls on retailers and says addressing 'big ticket' issues such as the housing crisis to make finding a home more affordable would take the pressure off consumers and businesses. He also says consumers should place more emphasis on shopping locally and says it would have a positive impact and support local jobs and local businesses and put less strain on the local economy 'Ireland is not an outlier; nobody internationally has a grip on this. It is everywhere. We're looking at extreme global uncertainty driven by things outside of our control. 'If Donald Trump were to develop a more moderate trade policy and if we saw an end of the war in Ukraine and the end of the Israeli conflict – all of these things have impacts on our day-to-day lives, and if we had a more stable global economy, prices would kind of come down but there is very little we can do. 'Maybe in the good old days, the prices we were paying were maybe too low for what we were actually getting and perhaps the new normal of pricing is what we should have been paying for the past few years and it's just catching up on us.'
The Independent
15 hours ago
- Health
- The Independent
Food firms slash salt and sugar by nearly a third
Food firms have cut salt and sugar levels in their products by nearly a third over the past decade, according to a report. But UK manufacturers across the sector are calling for more funding and 'bold action' to help drive further innovation in healthy eating. The Food and Drink Federation (FDF) said research by Kantar Worldpanel showed products made by its members have 31% less salt, 30% less sugar and a quarter fewer calories than they did 10 years ago. The group – whose members make a quarter of all food and drink sold in the UK – said the progress comes after years of investment by the industry, including around £180 million in healthier product innovation in 2024 alone. But the FDF said rising cost and regulation pressures are putting this investment under pressure, with a recent survey of its members showing 41% are planning to scale back spend on this as a result. It wants extra funding support and is urging the Government to take 'bold, co-ordinated action across the whole food system' to help with the shift towards healthier food. 'This includes mandatory reporting on the sales of healthier and less healthy products across manufacturing, retail and hospitality,' the FDF said. 'It also means taking a more consistent approach to health policy across the entire food chain, ensuring consumers have access to the same clear information that helps them to make healthier choices, no matter where they're eating,' it added. As well as funding for research and development and science support to the food sector, it believes the Government should help smaller firms more, with a similar scheme to the Scottish Government's Reformulation for Health programme. Efforts so far by the industry have included changing recipes and portion sizes. Some manufacturers have added extra portions of vegetables, while others have invested in new machinery to make changes to the cooking process and recipe. Karen Betts, chief executive of the FDF, said: 'Companies have made major progress in slashing the calories, salt and sugar in everyday food and drink – making the food people love better for them, alongside hugely expanding the range of healthy options. 'But tackling poor diets and lifestyles is a complex issue and needs a more joined-up approach. 'We're calling on the Government today to work in a more structured partnership with the entire food industry to deliver change.' She added that 'holistic and co-ordinated action will help us truly move the needle on this critical health challenge'. A government spokesperson said: 'As part of this government's Plan for Change, we are committed to achieving our health mission to build an NHS fit for the future, which includes shifting from sickness to prevention. 'We are working closely with the food industry to improve people's diets and reduce levels of obesity and have already restricted junk food advertising on TV and online as well as limiting school children's access to fast food outlets. 'Making healthier choices easier is a major part of creating a food environment that is fairer, with the fewest lives lost to the biggest killers and where everyone lives well for longer.'
Yahoo
16 hours ago
- Health
- Yahoo
Food firms slash salt and sugar by nearly a third
Food firms have cut salt and sugar levels in their products by nearly a third over the past decade, according to a report. But UK manufacturers across the sector are calling for more funding and 'bold action' to help drive further innovation in healthy eating. The Food and Drink Federation (FDF) said research by Kantar Worldpanel showed products made by its members have 31% less salt, 30% less sugar and a quarter fewer calories than they did 10 years ago. The group – whose members make a quarter of all food and drink sold in the UK – said the progress comes after years of investment by the industry, including around £180 million in healthier product innovation in 2024 alone. But the FDF said rising cost and regulation pressures are putting this investment under pressure, with a recent survey of its members showing 41% are planning to scale back spend on this as a result. It wants extra funding support and is urging the Government to take 'bold, co-ordinated action across the whole food system' to help with the shift towards healthier food. 'This includes mandatory reporting on the sales of healthier and less healthy products across manufacturing, retail and hospitality,' the FDF said. 'It also means taking a more consistent approach to health policy across the entire food chain, ensuring consumers have access to the same clear information that helps them to make healthier choices, no matter where they're eating,' it added. As well as funding for research and development and science support to the food sector, it believes the Government should help smaller firms more, with a similar scheme to the Scottish Government's Reformulation for Health programme. Efforts so far by the industry have included changing recipes and portion sizes. Some manufacturers have added extra portions of vegetables, while others have invested in new machinery to make changes to the cooking process and recipe. Karen Betts, chief executive of the FDF, said: 'Companies have made major progress in slashing the calories, salt and sugar in everyday food and drink – making the food people love better for them, alongside hugely expanding the range of healthy options. 'But tackling poor diets and lifestyles is a complex issue and needs a more joined-up approach. 'We're calling on the Government today to work in a more structured partnership with the entire food industry to deliver change.' She added that 'holistic and co-ordinated action will help us truly move the needle on this critical health challenge'. A government spokesperson said: 'As part of this government's Plan for Change, we are committed to achieving our health mission to build an NHS fit for the future, which includes shifting from sickness to prevention. 'We are working closely with the food industry to improve people's diets and reduce levels of obesity and have already restricted junk food advertising on TV and online as well as limiting school children's access to fast food outlets. 'Making healthier choices easier is a major part of creating a food environment that is fairer, with the fewest lives lost to the biggest killers and where everyone lives well for longer.'
Sky News
29-04-2025
- Business
- Sky News
Food inflation highest in almost a year - more to come, industry warns
Food inflation has hit its highest level in almost a year and could continue to go up, according to an industry body. The British Retail Consortium (BRC) reported a 2.6% annual lift in food costs during April - the highest level since May last year and up from a 2.4% rate the previous month. The body said there was a clear risk of further increases ahead due to rising costs, with the sector facing £7bn of tax increases this year due to the budget last October. It warned that shoppers risked paying a higher price but separate industry figures suggested any immediate blows were being cushioned by the effects of a continuing supermarket price war. Kantar Worldpanel, which tracks trends and prices, said spending on promotions reached its highest level this year at almost 30% of total sales over the four weeks to 20 April. It said that price cuts, mainly through loyalty cards, helped people to make the most of the Easter holiday with almost 20% of items sold at respective market leaders Tesco and Sainsbury's on a price match. Its measure of wider grocery inflation rose to 3.8%, however. Wider BRC data showed overall shop price inflation at -0.1% over the 12 months to April, with discounting largely responsible for weaker non-food goods. But its chief executive, Helen Dickinson, said retailers were "unable to absorb" the surge in costs they were facing. "The days of shop price deflation look numbered", she said, "as food inflation rose to its highest in 11 months, and non-food deflation eased significantly. "Everyday essentials including bread, meat, and fish, all increased prices on the month. This comes in the same month retailers face a mountain of new employment costs in the form of higher employer National Insurance Contributions and increased NLW [national living wage]." 1:24 While retail sales growth has proved somewhat resilient this year, it is believed that big rises to household bills in April - from things like inflation-busting water, energy and council tax bills - will bite and continue to keep a lid on major purchases. Also pressing on both consumer and business sentiment is Donald Trump's trade war - threatening further costs and hits to economic growth ahead. A further BRC survey, also published on Tuesday, showed more than half of human resources directors expect to reduce hiring due to the government's planned Employment Rights Bill. The bill, which proposes protections for millions of workers including guaranteed minimum hours, greater hurdles for sacking new staff and increased sick pay, is currently being debated in parliament. The BRC said one of the biggest concerns was that guaranteed minimum hours rules would hit part-time roles.
