UK food price inflation went up again by 3.7% in June, compared to 2.8% last month, according to new data from the British Retail Consortium (BRC) and NielsenIQ (NIQ).

The figures revealed that shop prices went up by 0.4% compared to the year prior, which was an increase from a 0.1% decline in May.

This marks the first increase in shop price inflation since July 2024, as retailers deal with warmer weather leading to challenges with harvest yields and increased production costs.

BRC chief executive Helen Dickinson said: “Retailers have warned of higher prices for consumers since last year’s autumn budget and the huge rises to employer national insurance costs and the national living wage.

“We predicted a significant rise in food inflation by the end of this year, and this has been accelerated by geopolitical tensions and the impacts of climate change.”

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In particular, the price of seasonal fruits experienced a high increase, with wholesale prices for gooseberries surging by 243% year over year, while blackberries went up by 25% and apples by 7%. Additionally, meat costs rose due to increased labour and wholesale expenses.

However, non-food prices saw a decline of 1.2% compared to a 1.5% deflation in May.

The warmer temperatures led to higher demand; however, the higher prices may lead to a slowdown in spending later on in the year, according to Mike Watkins, head of retailer insight at NIQ.

Watkins added: “We can expect retailers to reinforce their value-for-money messaging over the summer.”

Last year, major retailers warned of the potential price hikes after Chancellor Rachel Reeves introduced higher rates for the National Insurance contributions and an increased national minimum wage.