Shop Price Index
Festive discounting underway
Helen Dickinson OBE, Chief Executive, British Retail Consortium:
“As we approach Christmas, consumers will be glad to see another month of falling prices. This was mainly driven by non-food products, where prices have fallen at a much quicker rate than the previous month. Where demand was weak for some products, discounting has followed, with many retailers trying to encourage more consumer spending, particularly those selling fashion and DIY goods. Meanwhile, food inflation remains low, but we anticipate upward pressures on food prices once the UK-EU transition period ends.”
Mike Watkins, Head of Retailer and Business Insight, Nielsen:
“Shop price inflation remains low in food with supermarkets competing for the wallet of the Christmas shopper when sales of seasonal food and drink increased at the end of November. However for non food retailers, the industry faced the challenges of further lockdowns and predicting the levels of demand for online, so it's not a surprise to see price deflation accelerate, considering the uncertainty around consumer sentiment.”