Ocado chief blames Reeves's Budget for rising food prices as inflation climbs
Briefly

Chancellor Rachel Reeves's tax increases are cited as a primary factor driving up grocery prices, as businesses are unable to absorb larger labor costs. Tim Steiner, chief executive of Ocado, noted that both rising National Insurance Contributions and an increase in the minimum wage are contributing to inflationary pressures within the food retail sector. Food inflation reached 4.5% in June, impacting consumers already facing higher grocery bills. Retailers warn that the government's fiscal measures will likely lead to higher prices as costs are passed onto consumers.
Am I surprised to see inflation coming through? Of course not. You can't increase the cost of labour in food production, food distribution and food retailing in the way that we have... and not expect to see prices move.
Despite the pressures, Ocado Retail was working to keep prices in check. The average customer basket value rose by just 0.7% to £124.19... reflecting a 1.4% increase in average item prices, far below the national food inflation rate.
Read at Business Matters
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