Iceland slashes the price of Little Steps baby formula

Iceland is cutting the cost of SMA’s Little Steps formula milk after an investigation found that prices across the market have soared in recent years.

The frozen food retailer will sell the Nestle-owned 800g baby formula products for £7.95 in its stores and online from today (27 February) – £1.80 cheaper than its rivals, Sky News reported.

It comes as an investigation found that prices rose by an average of 25% in the past two years.

The Competition and Markets Authority (CMA) is now looking into whether companies have been profiteering as CEO Sarah Cardell said earlier this month that prices remain “at historically high levels”.

Subscribe to Grocery Gazette for free

Sign up here to get the latest grocery and food news each morning

Iceland executive chairman Richard Walker said: “We have a moral obligation to take action. The prime minister has said he is ‘sad’ families are watering down formula to try and make it last longer, but again these are just words and Iceland is today taking further action.”

Last month, Walker called on lawmakers to give retailers more freedom to help reduce the cost of baby formula.

He explained that a change in the law could allow stores to sell baby formula in exchange for vouchers or loyalty points, or promote discounted products.

In January, infant formula manufacturer Danone, which with Nestle controls 85% of the infant formula market, cut the wholesale price of its Aptamil baby powder by 7%.

Following this, Asda and Tesco joined Iceland in reducing prices. Asda cut a total of six Aptamil lines by an average of 7%, while Tesco slashed the cost of five Aptamil products by between 80p and £1.



Leave a Reply

Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.



Sign up to our daily newsletter to get all the latest grocery news and insights direct to your inbox.

  • This field is for validation purposes and should be left unchanged.