UK Food Inflation to Hit 6% by Christmas, Retailers Warn Reeves

British retailers warned food inflation will hit 6% by the end of the year as they raise prices in response to April’s hike in payroll taxes and the minimum wage.

A survey by the British Retail Consortium found two-thirds of firms plan to increase prices further after being squeezed by the Labour government at its first budget. Some 85% said they have already responded by putting up costs for consumers.