Prices up by 0.4% as inflation shows signs of pausing

There was better news on inflation in this week’s Grocer 33 pricing survey, which offered hope it may be slowing – at least for now.

Overall grocery prices were up 10.2% compared with last November, while they crept up just 0.4% versus a month ago.

Of the products on our list, two were cheaper than last year, with peaches down 11% and the Branston pickle down 4%. A further two – the Carte D’Or ice cream and Kellogg’s Corn Flakes – remained at the same price, while eight lines only saw single-figure percentage increases.

The highest inflation came on the Hovis wholemeal loaf – 39% higher than 12 months ago. It was one of five lines to increase by more than 30%. The other four products were the Fox’s cookies, eggs, gnocchi and Heinz Big Soup.

Six lines were up by more than 20% but there were none of the eye-watering increases we have seen in recent weeks, with products costing well over 50% more than a year ago.

Despite above-average inflation of 11.2%, Asda was significantly cheaper than its rivals. At £58.57 it came in £6.04 cheaper than Tesco. Even after factoring in Tesco’s Clubcard Prices the gap was still £4.39.

Asda offered the lowest price for 23 products and was exclusively cheapest for 16. These included the Alpro desserts, blue stilton, peaches and Thatchers cider.

Tesco was exclusively cheapest for the Febreze air freshener, gnocchi and Corn Flakes.

Morrisons’ inflation was just 5.6% but it still came in £6.19 more than Asda at £64.76.

Sainsbury’s was only exclusively cheapest for the plums. It was £8.14 more expensive than Asda at £66.71.

Waitrose had the highest level of inflation with its prices up 14.6% on last year. This contributed to a price gap of £18.59 compared with Asda.