LONDON, Sept 10 (Askume) – British grocery inflation slowed in the four weeks to Sept 1, data from market research firm Kantar showed on Tuesday, after the previous month’s report showed inflation rose for the first time in 18 months.
Annual grocery price inflation during the period was 1.7%, while in the previous four weeks it was 1.8%, the report said.
Kantar said that although the cost of shopping has fallen, about 60% of British families are worried about the rising cost of shopping.
“It’s their second biggest financial problem after home energy bills,” said Fraser McVitt, the researcher’s director of retail and consumer insights.
The latest snapshot of UK consumer behaviour data, released after the July 4 national election, shows that the prices of products such as vitamin and mineral supplements, cold juices and chocolate confectionery are rising the fastest. Toilet paper, dog food and bottled cola drinks saw the biggest price drops.
Official data released last month showed that UK overall inflation rose to 2.2% in July, but was still below comparable levels in the euro zone and the United States. August data will be released on September 18.
Kantar data showed grocery sales rose 3.0% over the past four weeks, slightly slower than the 3.8% growth recorded last month.
Kantar said that in the 12 weeks to Sept. 1, online supermarket Ocado (OCDO.L) once again became the fastest-growing grocery store, with sales rising 12.9% year-on-year, the highest growth rate since May 2021.
Industry leader Tesco (TSCO.L) grew sales 5.3% and its market share reached 27.8%, the highest level since January 2022.
Sales at Sainsbury’s (SBRY.L) , which was in second place , rose 5.7%, but Asda, which was in third place, lagged behind again, falling 5.6%, and its market share declined by 1.2 percentage points year-on-year.
Last month, Stuart Rose, chairman of premium retailer Asda, told The Daily Telegraph he was “ashamed” by the group’s performance .
Kantar said sales at discounters Aldi and Lidl rose by 1.3% and 9.1% respectively, despite Aldi losing market share.
Aldi said on Monday that its slower growth reflects its move toward lower prices earlier than the market.
UK supermarket market share and sales growth (%)
Source: Kantar
