Period Covered: 01 – 07
October 2025
- Shop price inflation decreased to 1.0% year on year
in October, against growth of 1.4% in September. This is
below the 3-month average of 1.1%.
|
- Non-Food inflation decreased to -0.4% year on year in
October, against a decline of -0.1% in September. This is
in line with the 3-month average of -0.4%.
|
- Food inflation decreased to 3.7% year on year in
October, against growth of 4.2% in September. This is
below the 3-month average of 4.0%.
|
- Fresh Food inflation increased to 4.3% year on year
in October, against growth of 4.1% in September. This is
above the 3-month average of 4.2%.
|
- Ambient Food inflation decreased to 2.9% year on year
in October, against growth of 4.2% in September. This is
below the 3-month average of 3.8%.
|
|
|
OVERALL SPM
|
FOOD
|
NON-FOOD
|
|
% Change
|
On last year
|
On last month
|
On last year
|
On last month
|
On last year
|
On last month
|
|
Oct-25
|
1.0
|
-0.3
|
3.7
|
-0.4
|
-0.4
|
-0.2
|
|
Sep-25
|
1.4
|
0.2
|
4.2
|
0.2
|
-0.1
|
0.3
|
Note: Month-on-month % change refers to changes in the
level of prices.
Helen Dickinson, Chief Executive of the BRC,
said:
“Overall shop price inflation slowed in October, driven by fierce
competition amongst retailers and widespread discounting. While
food inflation remains high, especially for fresh food where
prices continued to rise, it eased for ambient goods. Easing
global sugar prices helped to bring down prices of chocolate and
confectionary, a treat for those preparing Halloween parties.
Beyond food, discounts came early to electricals and health &
beauty, as retailers started promotions ahead of Black Friday
month.
“The IMF recently warned that UK inflation will be the highest in
the G7. With the Budget less than a month away, the Chancellor
has an opportunity to relieve some of the pressures that are
keeping the cost of essentials high. Labour's promised business
rates reform must deliver a meaningful cut to retailers' rates
bills, and ensure that no store pays more. Rising employer
National Insurance Contributions and a new packaging tax have
directly contributed towards rising inflation, according to the
Bank of England. Adding further taxes on retail businesses would
inevitably keep inflation higher for longer.”
Mike Watkins, Head of Retailer and Business Insight, NIQ,
said:
“Inflation is higher than a year ago, and with
pressure on household budgets and weak sentiment, retail spend
continues to be subdued. However, food retailers are in a battle
for market share, and many are offering targeted price cuts, and
non-food retailers will wish to avoid any price increases over
the next couple of months.”
