Over the three months to June 2022, food sales increased 2.2% on a total basis and 1.6% on a like-for-like basis, according to the latest figures by the British Retail Consortium (BRC).

This is above the 12-month total average growth of 0.6%. For the month of June, food was also in growth year-on-year.

Overall, retail sales decreased by 1% in June in 2022, against an increase of 10.4% in June 2021. This is below the three-month average decline of 0.8% and the 12-month average growth of 3%.

BRC noted that its sales figures are not adjusted for inflation. Given that both the June SPI (BRC) and May CPI (ONS) show inflation running at historically high levels, the small drop in sales is thought to have masked a much larger drop in volumes once inflation is accounted for.

Record high food inflation

Despite the recorded increases in food sales on a total basis, CEO of the Institute of Grocery Distribution, Susan Barratt, said that week-by-week sales revealed a more turbulent journey to growth.

She explained: “Food and drink sales fluctuated week-by-week in June, and with volume sales down and value sales up, we can clearly see inflation coming through. However, the overall downward sales trend for volumes means the outlook continues to be challenging, although good weather might provide a welcome boost in July.”

Barrat added that the IGD’s Shopper Confidence Index reached a new record low in June as shoppers contend with the cost-of-living crisis.

She said: “We’re forecasting that food inflation will reach 15% this summer and our ShopperVista research shows that shoppers are increasingly trying to save money in every part of their lives.

“Unsurprisingly, shopping habits are changing; some 60% of shoppers are now spending time to save money, up from 55% in March. With record petrol prices, being able to walk to a grocery store is also increasingly important with 27% of shoppers agreeing this is a driver of store choice, compared to 24% in May.”