Food inflation remained unchanged at 4.2% in September, compared to an increase of 4.2% in August, according to the latest figures from the British Retail Consortium (BRC).

Overall shop price inflation went up by 1.4% year-over-year in September, which was higher than the three-month average of 1%.

Fresh food inflation remained constant at 4.1% in September compared to the year prior, which was above the three-month average of 3.8%.

Meanwhile, ambient food inflation also remained unchanged at 4.2% year-over-year in September, compared to a 4.2% growth in August.

Helen Dickinson, chief executive of the BRC, said: “A year and a half of non-food deflation looks set to come to an end, as inflationary pressures spread beyond food.

“Food inflation held steady after seven consecutive months of rises, but increased labour and energy costs continue to push up input prices for many farmers, particularly of cattle, with dairy and beef prices remaining high.”

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However, the BRC cautioned over the upcoming packaging tax, which will add more costs and push inflation upwards.

“The impact on retailers and their supply chain of both global factors and higher national insurance and wage costs is playing out in prices for consumers,” said Dickinson.

“The new packaging tax, set to take effect in October, will put further upward pressure on inflation. While retailers continue to absorb higher costs as much as possible and deliver value to customers, any further tax rises in the upcoming Budget would keep shop prices higher for longer.”

Mike Watkins, head of retailer and business insight at NIQ, said: “With inflationary pressures persisting, many shoppers remain concerned about their personal finances and are becoming increasingly price-sensitive.”

“As a result, retailers are likely to continue offering promotions and deals in the coming weeks to help maintain sales momentum,” he added.