Food prices to rise by 4.2% this year amid increased costs, industry warns

Shop prices overall were 1% lower in December than a year earlier, figures show (PA) - (PA Wire)

Food prices will rise by an average of 4.2% in the latter half of the year as retailers battle £7 billion of increased costs from the Budget, the industry has warned.

British Retail Consortium (BRC) chief executive Helen Dickinson said modelling by the trade association and industry chiefs said there was “little hope of prices going anywhere but up” as retailers faced higher national insurance (NI), National Living Wage and new packaging costs.