Shop prices fall in August but Brexit price hikes loom

Price ranges fell by 1.6% in August as opposed to a 1.3% slide in July, in accordance to the newest figures from the British Retail Consortium and Nielsen.

This was under the 12- and 6-month normal selling price decreases of 1% and 1.five% respectively.

Non-foodstuff costs fell by 3.four% in August as opposed to a two.nine% drop the previous month.

However, BRC main executive Helen Dickinson warned that looming Brexit uncertainty could guide to a hike in costs.

“These decreased costs are already under threat from greater prices linked with employing coronavirus basic safety measures and are specific to increase if the Uk finishes the changeover period devoid of a trade offer with the EU,” she stated.

“The absence of a tariff-cost-free offer will guide to higher costs for buyers as skinny retail margins drive vendors to elevate costs in reaction to greater import prices. Additionally, devoid of a offer that cuts down checks and purple tape, the Uk provide chain faces intense disruption, reducing the availability of items and additional increasing costs for buyers. It is important that the govt makes sure the British public are front of thoughts in their negotiations, normally it will be buyers, vendors and the Uk economic climate that will go through.”