LONDON (MNI) – Overall shop price inflation slowed in April as food
price pressures eased and the cost of non-food items remained
deflationary, according to the latest Shop Price Index report from the
British Retail Consortium and Nielsen.
Annual food inflation fell sharply to 4.3% from 5.4%, while the
non-food category reported deflation of 0.5% to leave the overall Shop
Price Index at 1.3% in April, down from the 1.5% seen in March.
In terms of the non-food component on the index, clothing and
footwear, electricals and furniture all showed deflation and so exerted
considerable downward pressure on the overall non-food index which
stands at -0.5% versus the -0.9% seen in March.
In terms of the food sector, fresh and ambient food categories
reported a sharp deceleration in their inflation rates.
Commenting on the data, Stephen Robertson, British Retail Consortium
Director General, said:
“After last week’s official return to recession, these figures give
customers some reasons to be cheerful. Fuel, utilities and even stamps
are much more expensive than they were but retailers are holding back or
actually cutting prices. Food inflation dropped to where it was before
March’s sudden rise and non-food goods have now been cheaper than a year
ago for three months in a row.”
–London newsroom 0044 207 862 7491; email:ukeditorial@marketnews.com
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