Seventeenth fall in a row for grocery prices as impact of discounters is felt

Vegetables were among the categories responsible for further negative grocery price inflation for the 12-week period ending 1 February, market analyst Kantar Worldpanel has reported.

Image: Matty Ring
Image: Matty Ring

Its head of retail and consumer insight Fraser McKevitt said: "All of the major grocers have continued to compete fiercely on price, leading to like-for-like grocery prices falling by 1.2 per cent - another record low."

However overall the grocery market has returned to growth, at a rate of 1.1 per cent, following a dip into negative growth at the end of 2014.

Among individual retailers, Tesco has returned to growth for the first time since January 2014 - the only one of the Big Four to show a positive figure.

Meanwhile growth of discounters Aldi and Lidl appears to be slowing, though they continue to take market share from other retailers.


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