UK-Economy
Food prices in Britain have soared by 9.5 per cent in the past year, more than twice the government's inflation rate and four times more that the increase in the previous 12 months, according to the British Retail Consortium (BRC).

The BRC claimed that despite the rise in food prices being the highest in at least 15 years, supermarkets are protecting consumers by absorbing some of their increased costs, preventing even higher costs.

"Food prices are rising but retailers are keeping increases well below the extra supply and operating costs they face," said BRC chief Stephen Robertson.

Separate figures showed that the rise in the price of at fresh food, meat, dairy products, fruit and vegetables, was even higher at 10.8 per cent in the last 12 months.

Last week, the Organisation for Economic Cooperation and Development found that food prices in Britain were rising more quickly than among similar economies.

The survey suggested that as a consequence of higher inflation, shoppers were buying less food products. "Fifty-five per cent of people are cutting their grocery spend as other bills increase," said analyst Mike Watkins, who helped the study.

The increasing cost of food, fuel, gas, electricity and other essentials is reported to outpacing salary rises, putting the biggest squeeze on living standards in Britain since the 1970s.