Updated
Updated · The Independent · Aug 18
UK Grocery Inflation Falls to 2.1% as Heatwaves Shift Spending to Chilled Foods
Updated
Updated · The Independent · Aug 18

UK Grocery Inflation Falls to 2.1% as Heatwaves Shift Spending to Chilled Foods

3 articles · Updated · The Independent · Aug 18

Summary

  • Supermarket price inflation slowed to 2.1% in the four weeks to Aug. 9 from 2.6%, the lowest level since October 2024 and nearly two years.
  • Heatwaves helped drive the drop as shoppers bought more chilled and picnic foods while leaning harder on promotions, which featured in 31.3% of purchases — the highest share this year.
  • Household grocery spending still fell to £410, down £14.24 from the previous month, after July had been lifted by World Cup-related buying.
  • Hot-weather demand reshaped baskets: frozen fruit sales jumped 48.1%, sun cream 58.4%, ice cream and sorbet 26.1%, while 13% of evening meals were eaten after 8 p.m.
  • In the 12 weeks to Aug. 9, Ocado posted the fastest sales growth at 13.1%, Lidl gained the most market share to 8.8%, and Asda cut its sales decline to 0.2%.

Insights

If grocery inflation is hitting a two-year low, why are families still struggling to afford basic, healthy meals?
With supermarkets slashing prices to win customers, are hidden climate and supply chain risks about to send your grocery bill soaring again?
Could the massive shift toward private-label brands permanently reshape the global food industry, even after inflation cools?