With eating out costing more than ever, the news that food inflation has fallen to 3.4 per cent, the lowest since September 2021, sounds like it should be good news. But, while we’ll all be relieved by a break from surging supermarket prices – nearly £8 for a litre of olive oil, anyone? – it’s important to remember that falling inflation doesn’t mean falling prices, as a third of Brits mistakenly believe. It simply means that prices continue to rise at a slower rate.
The picture for restaurants is somewhat bleaker. Food inflation in the hospitality industry has only fallen to 12 per cent, 2.4 times higher than in retail. Restaurants that have managed to survive the maelstrom of challenges over the past few years have inevitably had to pass costs onto menus, with consumers picking up the bill. And with the “common user charge” – the latest aftershock from Brexit – now in effect on our borders, prices won’t be going down any time soon.
