Family groceries bill is set to soar by £533 this year

The rocketing cost of feeding your family: Groceries bill is set to soar by £533 this year, research reveals

  • Prices have surged by 11.6 per cent over the past four weeks in the UK
  • It is the fastest increase since the global financial crisis in 2008
  • Means that the average household grocery bill will shoot up by £533 this year
  • Rise attributed to sharp increases in essential products such as milk and butter 

Shoppers can expect their supermarket bills to rise by more than £500 this year as the cost of food continues to rocket.

Prices have surged by 11.6 per cent over the past four weeks, the fastest increase since the global financial crisis in 2008, according to research firm Kantar.

It means the average household grocery bill will shoot up by £533 this year – the equivalent to £10.25 every week.

The rise was attributed to sharp increases in essential products such as milk and butter, which have risen by 25 per cent and 23.5 per cent since last year respectively.

As a result of soaring costs, Kantar’s head of retail and consumer insight Fraser McKevitt said struggling families were starting to make lifestyle changes to cope with the ‘extra demands’ placed on their budgets. Part of this was shoppers turning to supermarket own-label ranges, which are often cheaper than branded items.

Prices have surged by 11.6 per cent over the past four weeks, the fastest increase since the global financial crisis in 2008, according to research firm Kantar. Pictured: How products have gone up in price 

Mr McKevitt said as shoppers looked to make savings, own-label products were now ‘at record levels of popularity’, with sales having risen 7.3 per cent since last year to nearly 52 per cent of all grocery shopping, the biggest share Kantar had ever recorded.

He added that people were ‘shopping around’ between supermarkets to find the best value food and drink.

‘Over the past month we’ve really seen retailers expand and advertise their own value ranges across the store to reflect demand,’ Mr McKevitt said.

This trend has proved a boon for German supermarket Aldi, which saw its share of the UK grocery market rise to 9.1 per cent in the last four weeks from 8.2 per cent last year, as cost-conscious customers were drawn to its cheaper product lines.

The rise was attributed to sharp increases in essential products such as milk and butter, which have risen by 25 per cent and 23.5 per cent since last year respectively (stock image)

Fellow discounter Lidl also gained ground, attracting 7 per cent of the market compared to 6.1 per cent last year.

But Morrisons saw its share drop to 9.3 per cent from 10 per cent, and upmarket Waitrose declined from 4.9 per cent to 4.6 per cent.

The data came as overall supermarket sales increased by 2.2 per cent over the last four weeks, which was boosted by a surge in demand for drinks, ice cream and summer clothes as shoppers sought ways to cool off during the heatwave. Kantar noted that sales of mineral water had jumped 23 per cent, while soft drinks climbed by 10 per cent and ice cream rose by 18 per cent compared to last year.

The rising cost of groceries is likely to pile further pressure on household budgets at a time when pay packets are withering in the face of soaring inflation.

Data from the Office for National Statistics showed wages excluding bonuses fell by 3 per cent in real terms in the three months to June, the fastest decline since records began in 2001.

As a result of soaring costs, Kantar’s head of retail and consumer insight Fraser McKevitt said struggling families were starting to make lifestyle changes to cope with the ‘extra demands’ placed on their budgets (stock image)

Source: Read Full Article