British Retail Consortium (BRC) Shop Price Index for May 2024 dropped back to 0.6% y/y
- expected 1.0%, prior 0.8%
BRC chief executive Helen Dickinson:
- “Shop price inflation has returned to normal levels. Ambient food inflation remained stickier, especially for sugary products which continued to feel the effects of high global sugar prices.
- “In non-food, retailers cut furniture prices in an attempt to revive subdued consumer demand for big-ticket items, and football fans have been able to grab some bargains on TVs and other audio-visual equipment ahead of this summer’s Euros.”
The BRC survey is run in conjunction with data analysis firm NielsenIQ. NIQ comment:
- had seen “some improvement” in consumer sentiment
Back to normal inflation, if true, could prompt near term Bank of England rate cuts. June or August is the current market expectation.
