The ONS inflation data for November shows food and drink price inflation continuing to rise to 16.5%, whilst headline inflation slowed in November, down to 10.7%.
Last month (November) food and drink inflation rose to 16.4%, a rate not seen for 45 years. The cost of basics such as milk, cheese and eggs lead the charge.
The Office for National Statistics (ONS) said the slight slowing in the rate of headline inflation in December was largely due to lower fuel prices.
Chief executive of the Food and Drink Federation (FDF), Karen Betts, said that the British food and drink industry is continuing to feel the impacts of high inflation on production, and that manufacturers are having to pass costs through to consumers, despite their best efforts to find efficient savings.
She explained: “Energy still accounts for a significant portion of companies’ costs and we are seeking urgent clarity from Government on what energy support will be available to the food and drink supply chain in the Spring. The withdrawal of support will undoubtedly put further pressure on food and drink prices. There also remain low cost and high impact measures government could take to reduce unnecessary regulatory burdens on businesses in our sector, which would help curb inflation too.”
