• Date of publication: 11 July 2022
  • 96
  • bloomberg.com
  • Inflation makes the English breakfast even more expensive

    Synopsis

    Cooking English breakfasts is around 18% more expensive than it was a year ago, another indicator of how the cost-of-living crisis is squeezing UK household budgets. Buying roast items – toast, butter, eggs, sausages and bacon, as well a

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Cooking English breakfasts is around 18% more expensive than it was a year ago, another indicator of how the cost-of-living crisis is squeezing UK household budgets.

Buying roast items – toast, butter, eggs, sausages and bacon, as well as coffee and tea – will cost consumers an average of £19.1 ($22.96), up nearly £3 from the comparable period last year. That's according to retail research firm Assosia, which in July processed price data for grocery stores Tesco Plc, J Sainsbury Plc, Asda and Wm Morrison Supermarkets Plc. 

Rising breakfast costs outpace the UK's overall inflation rate, which has hit a four-year high as households struggle with a surge in electricity and fuel bills. 

Britain's big four supermarkets have lost some market share this year as shoppers turn to cheaper rivals such as German discounters Aldi and Lidl.

"It draws attention to what everyone can relate to," said Richard Lim, chief executive officer of Retail Economics. "Prices are rising across the board, and the reality is that there is probably more inflation in the pipeline."

Retail prices for staple foods in the UK have soared over the past year

Note: Average price data for Tesco, Sainsbury, Asda and Morrisons compared to July 2021 and July 2022

Although inflation is widespread, britons have been hit particularly hard. In France, prices for coffee, croissants and other breakfast products are mostly rising by single-digit percentages, according to Eurostat data.

According to Assosia, buying grocers' own brand products, rather than well-known labels, could help cut the bill for English breakfast products by around £7.64. However, prices for cheaper product lines have soared at the same rate as branded ones.

Aside from private label trading, the choice becomes more difficult. 

"A growing number of people are saying they are skipping meals," said James Walton, chief economist at the Food Distribution Institute. "It's a clear sign of food stress."