Shopping from Tesco, Sainsbury's, Asda 'set to rise by £275'
Industry leaders have predicted food inflation will rise to 6% causing a 'significant challenge' to household budgets in the run-up to Christmas.
The BRC, whose figures now put food inflation at 4%, said prices would rise year on year by Christmas.
BRC chief executive Helen Dickinson has said households are struggling to cope with the rising cost of their weekly shop.
Food is outrageous now. My weekly "big shop" is about £40 more expensive than perhaps 18 months ago. Then you have to check it out yourself. Pay more and do the store's work for them. I've 3 teenagers. I've only got to blink and the fridge is ransacked!
— ClaireJH (@HillClaireJ) July 6, 2025
Annual grocery spending to rise by £275, experts warn
In January, the BRC predicted that food prices would rise by an average of 4.2% in the latter half of the year as retailers battled increased costs from the Chancellor's budget.
Last week, market research firm Worldpanel by Numerator, formerly Kantar, reported UK grocery prices had increased at their fastest pace for 18 months.
Grocery price inflation accelerated to 5.2% in the four weeks to July 13, up from 4.7% a month earlier and the highest level since January 2024.
The data also indicated that rising prices are set to add an average of £275 to shoppers' annual grocery spending.
BRC chief executive Helen Dickinson said: 'Retail was squarely in the firing line of the last budget, with the industry hit by £7 billion in new costs and taxes.
'Retailers have done everything they can to shield their customers from higher costs, but given their slim margins and the rising cost of employing staff, price rises were inevitable.
5 ways to save money on your weekly food shop
'The consequences are now being felt by households as many struggle to cope with the rising cost of their weekly shop.
"It is up to the Chancellor to decide whether to fan the flames of inflation, or to support the everyday economy by backing the high street and the local jobs they provide.'
Drought could also cause food prices to rise
The warning comes as the Autonomy Institute think tank is also predicting food price rises.
It says extreme weather could drive up food prices by more than a third by 2050.
Under a high-emission 'worst-case' scenario, food prices could rise by 34%, a study found.
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Under a 'best-case' scenario, the cumulative food price inflation could still reach 25% by 2050.
Heatwaves in the UK could cost an average household between £917 and £1,247 by 2050, it added.
It comes after the UK's leading retailers like Tesco, Asda, Sainsbury's and Morrisons have warned over the changing landscape of the retail industry owing to the searing and scorching heatwaves the UK has experienced.
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