UK Retail Prices Fell at Faster Pace in July
By Matteo Castia
U.K. retail prices fell more sharply in the first week of July
due to fierce competition between supermarkets and a steeper drop
in nonfood prices, according to the latest report by Nielsen IQ and
the British Retail Consortium released Wednesday.
Prices at U.K. stores dropped 1.2% year-on-year between July 1
and July 7, compared with a decline of 0.7% in June, the report
Nonfood prices declined faster than food prices, falling 1.8% on
the year, compared with a 1.0% decrease in June. Food prices fell
0.4% in the period, doubling up on June's 0.2% drop.
"With the reopening of some holiday destinations and other
recreational activities, consumers broadened their spending to
include more leisure and travel. In response, non-food retailers,
particular fashion businesses, have been working hard to keep
consumer appetite alive with summer sales," BRC Chief Executive
Helen Dickinson said.
However, low prices may not last much longer, as costs related
to shipping, gas, Brexit tape and haulage continue to mount, Ms.
"The additional paperwork and physical checks on EU imports in
October and January may push prices up in the long-term," she
Write to Matteo Castia at email@example.com
(END) Dow Jones Newswires
July 27, 2021 19:15 ET (23:15 GMT)
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