Grocery spending hits new high and inflation soars to 3.7% – London Business News | Londonlovesbusiness.com

According to analysis by Kantar, grocery spending hit a record high over Christmas and households spent an average of £460.

Inflation across supermarkets rose from 2.6% to 3.7% in November, this is the highest level since March 2020.

Over the first four weeks grocery sales surpassed £13 billion for the first time ever as prices hit their fastest on confectionary, skincare, juices and smoothies, chocolate and pet food.

Fraser McKevitt, head of retail and consumer insight at Kantar, said, “In contrast to reports of disappointing footfall across the rest of the high street, it was a very different story in the world of grocery.

“As anticipated, Monday 23 December was the most popular shopping day of the year, with sales a whopping 30% higher than any other day during 2024.”

Branded items saw sales grow to 4.2% as households spent more on festive goodies and premium own branded labels rose by 14.6%.

McKevitt said, “We’ve all got our own festive favourites, but it seems that age differences come into play too.

“Under-45s are far more likely to pick up a sausage roll, and they also go for a slightly more Mediterranean spin, being the most likely to reach for panettone as well as antipasti and party food as part of their Christmas shopping.

“Meanwhile, over-45s account for the majority of Christmas cake and fortified wine sales. The seasonal biscuit, however, knows no bounds, appealing across the generations.”