Grocery price inflation could be over by Easter if there are no further global economic shocks, according to Associated British Foods’s CEO.
George Weston told The Guardian: “Food inflation hit 20% last year and by the back of 2024 I think it will be close to zero.”
“I would not be surprised if by the middle of next year, and even by Easter, most of the big price inflation had gone away.”
Acknowledging that inflation remained in some categories, such as sugar, tomatoes and onions, Weston also pointed out that commodities such as cereals and edible oils had already decreased.
However, he said that the positive scenario was reliant on no further conflicts, such as the Ukraine-Russia war or Israel-Hamas war.
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Weston’s comments come in the wake of Kantar figures showing that grocery inflation had fallen to 9.7% in the four weeks leading to the end of October – the first time in 16 months the figure had dropped to the single digits.
Kantar UK head of retail and consumer insight Fraser McKevitt said: “The picture may well change as we go headlong into the festive period, when shoppers typically turn more to brands.
“The gap between own-label and branded goods is at its narrowest since spring last year. Branded sales increased by 6.7% in the latest month, raising the distinct possibility that they will push ahead by Christmas.”
