UK shop prices hit record high in October amid cost of living crisis

Shop prices in the UK hit a record high last month amid rising commodity and energy prices and a tight labour market.

Shop price inflation increased to 6.6 percent in October from 5.7 percent in September, according to the BRC-Nielsen Shop Price Index.

It marks the highest rate on record since the index was launched in 2005.

Non-Food inflation accelerated to 4.1 percent in October from 3.3 percent in September.

“It has been a difficult month for consumers who not only faced an increase in their energy bills, but also a more expensive shopping basket,” said Helen Dickinson, the chief executive of BRC.

“Prices were pushed up because of the significant input cost pressures faced by retailers due to rising commodity and energy prices and a tight labour market,” she said.

Dickinson urged the government to freeze business rates “to prevent an additional 800 million pound bill landing on the plates of retailers and in turn their customers in 2023”.