Supermarkets set for higher business rates payments in Budget

Rising food prices helped to offset a drop in the cost of air travel in August, meaning the overall rate of inflation was unchanged (Steve Morgan/Alamy) -

Supermarkets are set to face a jump in business rates payments at the Budget following a reported Treasury U-turn, with retail bosses warning the move could lead to higher prices for shoppers.

The caution comes amid a backdrop of cost hikes for the sector earlier this year and elevated food inflation for UK shoppers.