| All News | Archived News |
Food prices are `driving up inflation`
4 August 2008
According to an inflation expert, food is a key factor in driving up inflation.
Alex Beckett, from the Grocer magazine, said: "Food inflation and energy price rises are historically linked."
Consumers may want to keep a closer eye on their food budgets as food stuffs that are dependent on grain and cereal have seen the steepest rise in costs.
According to Mr Beckett, the price of grain and cereal has doubled in the past year.
He added that all food prices will be affected to a greater or lesser extent as the distribution and manufacture of food is linked to energy.
He gave Cadbury`s as an example which announced last week that cocoa - the main ingredient in chocolate - is now 37 per cent more expensive than the same time last year.
According to research from Defra, food price inflation was 9.7 per cent in the UK last month.
Overall inflation was 3.8 per cent.
Speak to an expert today
Call freephone: 0800 161 3516
Registered in England and Wales