Inflation is making the English breakfast even more indulgent

PREPARING English breakfasts is around 18 per cent more expensive than a year ago, in yet another indicator of how the cost-of-living crisis is squeezing UK household budgets.

Buying fry-up supplies — toast, butter, eggs, sausages and bacon, together with coffee and tea — will set back consumers by an average of £19.10 (S$32.16), almost £3 more than in the comparable period last year. That is according to retail research firm Assosia, which crunched price data across grocers Tesco, J Sainsbury, Asda and Wm Morrison Supermarkets in July. 

Increases in the cost of breakfast supplies are outpacing the overall UK inflation rate, which has hit a 4-decade high as households struggle with spiking energy and fuel bills. 

The big 4 British supermarkets have all lost some market share this year as shoppers turn to cheaper rivals such as German discounters Aldi and Lidl.

“This brings into focus something everyone can relate to,” said Richard Lim, chief executive officer of Retail Economics. “Prices are rising across the board, and the reality is that there is more inflation in the pipeline for sure.”

Although inflation is widespread, Britons have been hit especially hard. In France, prices of coffee, croissants and other breakfast supplies are mostly rising at single-digit percentages, Eurostat data showed.

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Buying grocers’ own-brand products rather than well-known labels can help cut the English breakfast grocery bill by about £7.64, noted Assosia. Still, prices for the cheaper product ranges soared at a similar pace as branded ones.

Beyond trading down to private labels, the choices get tougher. 

“An increasing number of people say they’re skipping meals,” said James Walton, chief economist at the Institute of Grocery Distribution. “That is a clear sign of food stress.” BLOOMBERG