Shop price annual inflation decelerated further to 4.3% in November, down from 5.2% in October, according to the latest Shop price Index from BRC-NielsenIQ.
Shop price growth was at its lowest since June 2022.
Non-food inflation fell to 2.5%, down from 3.4% in October, and again at its lowest since June 2022.
Helen Dickinson, chief rxecutive of the British Retail Consortium (BRC), says: “Shop price inflation eased for the sixth month in a row as retailers competed fiercely to bring prices down for customers ahead of Christmas.
“Retailers are committed to delivering an affordable Christmas for their customers. They face new headwinds in 2024 - from Government-imposed increases in business rates bills, to the hidden costs of complying with new regulations. Combining these with the biggest rise to the National Living Wage on record will likely stall or even reverse progress made thus far on bringing down inflation, particularly in food.”
Mike Watkins, head of retailer and business insight, NielsenIQ, adds: "With the recent slowdown in consumer spending, many non-food retailers will have been reliant on Black Friday to kick starts sales to avoid discounting in December, whereas food retailers will be optimistic that footfall will increase as inflation slows and shoppers get into a festive mood. Across all retail, this year shoppers will be making savings on everyday essentials to help pay for their family Christmas.”