Prices of value brand groceries rise most
They're going up more than branded or premium brands in supermarkets
Last updated 24th Feb 2023
Shoppers relying on the cheapest supermarket ranges are bearing the brunt of grocery inflation.
New figures from Which? show price rises on value items are far outstripping those of branded and premium products.
The price of value items was up 21.6% in January on a year before, well in excess of overall grocery inflation of 15.9%, Which? found.
In comparison, branded goods rose by 13.2% over the year, own-label premium ranges were up 13.4% and standard own-brand items increased 18.9%.
Which? analysed inflation on more than 25,000 food and drink products at eight major supermarkets - Aldi, Asda, Lidl, Morrisons, Ocado, Sainsbury's, Tesco and Waitrose.
Its findings suggest those who are likely to be already struggling to feed their families and pay their bills during the cost-of-living crisis are being hit disproportionately with the sharpest food price increases.
Some of the biggest price increases on supermarket value items include Sainsbury's muesli rising 87.5% from £1.20 to £2.25, tins of sliced carrots up 63% from 20p to 33p at Tesco, and pork sausages up 58.2% from 80p to £1.27 at Asda.
The butter and spreads category continued to show significant inflation, up 29.9%, as did milk, which went up by 26.1% on average across all eight supermarkets.
The price of cheese went up by 23.8% overall, but some individual examples surged by as much as 96.6%.
Prices were up 23.6% at Lidl and 22.5% at Aldi on a year ago, compared with 10.4% at Ocado, 13.2% at Sainsbury's, 13.6% at Tesco, 14.4% at Morrisons, 15.2% at Waitrose and 16.8% at Asda.
However Which? found the discounters were generally still cheaper than their competitors.
Which? head of food policy, Sue Davies, said: "It's clear that food costs have soared in recent months, but our inflation tracker shows how households relying on supermarket value ranges are being hit the hardest.
"Supermarkets need to act and Which? is calling for them to ensure everyone has easy access to basic, affordable food ranges at a store near them, particularly in areas where people are most in need.
"Supermarkets must also do more to ensure transparent pricing enables people to easily work out which products offer the best value and target their promotions to support people who are really struggling."
The cost of living crisis is affecting many:
Interest rates and inflation go up
Inflation rose by 8.8% in the 12 months to January 2023, down from 9.2% in December 2022. With interest rates also rising to 4%, those saving money will earn more interest on their finances, whilst those paying mortgages would pay more interest to the bank.
Energy bills
The price of energy went up incredibly as the cost of living crisis hit, with the gas price spike caused largely by the war in Ukraine. The price cap - which is set by an independent regulator to help offset costs onto customers - was set to rise to £3,549 for an average home in October but a price freeze from the government restricted the typical bill to £2,500. That's still an increase of 27% from the previous energy cap and as it's a cap on unit cost, the more energy you use the higher your bill will be.
Food prices
The cost of a weekly shop also has gone up as a result of the cost of living crisis. As a result of the war in Ukraine, a number of products including cooking oils and wheat have been disrupted. This means that several products are now considerably more expensive, driving bills up for customers.
Prices at the pumps
The average cost of petrol has also rose to unprecedented levels. Supply lines for petrol have been thrown into doubt as a result of the war in Ukraine, as Russia is a large export partner for gas, oil and fuel. In April 2022, the average price for a litre of petrol on the forecourt was 160.2p, whilst a litre of diesel would cost 170.5p. By late June 2022 the price had risen to an average of 190.9p for a litre of unleaded and 198.9p for a litre of diesel. In March 2023 the price wass on average of 147.03 in petrol and 167.04 in diesel.
Average cost of filling up a car with petrol hits £100
On 9th June 2022, the average cost of filling up a car with petrol hit £100 for the first time ever. Diesel had already hit that milestone. It comes as the cost of fuel hit a record high of one pound eighty a litre. The 2p rise was the biggest daily jump in 17 years. Prices have dropped by at least 20p per litre since the high point.
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