Rate of shop price deflation eases as food costs edge up

High-Street

The rate of deflation on shop prices eased slightly in January as falling costs in non-food were offset by increased grocery prices.

January shop prices were down 0.3% year on year, below the 0.4% decrease in prices recorded the previous month, according to the BRC-Nielsen Shop Price Index.

Shop prices across the month were lower than the 12-month flat average but above the six-month average decrease of 0.5%.

Non-food price deflation held steady month on month in January, down 1.5%  year on year and a steeper rate of decline than the 12-month average of 1%.

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