UK grocery sales reached £12.8bn in December, according to new sector data.
December 2022 figures are £1.1bn higher than the same period in 2021, with monthly grocery sales surpassing £12bn for the first time, according to a study released Wednesday by consulting firm Kantar.
Fraser McKevitt, head of retail and consumer insights at Kantar, said grocery price inflation was the “real driver” behind the numbers, with sales down 1% year-over-year. I pointed out that
“Value sales for mince pies surged 19%, but there was little increase in bulk purchases,” McKevitt said, referring to the popular British celebratory snack.
Kantar data showed grocery price inflation near record levels in December, up 14.4% from the same month last year and down slightly from November’s 14.6%.
“This is the second month in a row that food price inflation has fallen, raising hopes that the worst is behind us,” McKevitt said.
The Office for National Statistics, which provides the UK’s official economic data, is due to release food price inflation later this month. The latest data show that annual food price inflation was 16.6% in November, the highest in 45 years.
According to Kantar, rising food prices have led buyers to turn to discount chains. Aldi, the UK’s fastest growing grocer, said it expanded its market share in December to 9.1% from 7.7% a year earlier.
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