On February 28th 2023 Kantar reported that grocery price inflation had risen again to reach 17.1%, the highest level ever recorded. 

Supermarket inflation refers to the increase in prices of goods sold in supermarkets. A variety of factors, including rising costs for suppliers, increased demand for certain products, and changes in government policies can cause inflation in the supermarket industry.

In recent years, there have been concerns about rising food prices and food inflation in many countries, including the UK. This can be due to various reasons, such as droughts, crop failures, and supply chain disruptions. Additionally, currency fluctuations, transportation costs, and taxes can also contribute to inflation in the supermarket industry.

It's important to note that while inflation can result in higher prices for consumers, it can also provide opportunities for companies to increase their profit margins.

In the Spring budget 2023 announced by the UK government last week, the hope is that inflation will fall by 2.9% by the end of this year. With grocery price inflation remaining the same at 17.1% it is deemed that food and drink prices are the second most important financial issue that needs to be tackled after energy costs. 

UK bosses are crying out for change and their hope last week was that the government would create a balance budget which would in-turn hopefully help change the outlook.

There's a hope that the Spring Budget will fuel growth and bring down inflation with it.