By Denis Sheehan MIH: Cost of doing business further squeezed as food inflation continues to soar.
British businesses continue to be further impacted by soaring food prices, as the annual inflation rate in British shops reaches its highest in at least 18 years.
Today’s updated figures see hospitality and catering businesses forced to deal with food inflation accelerating to 15.0% in March, up from 14.5% in February, as new figures from the British Retail Consortium show this morning.
The BRC further reports that shortages of fruit and vegetables pushed up prices, with fresh food inflation accelerating to 17.0% in March, up from 16.3% in February. That is the highest inflation rate in the fresh food category on record, illustrating that the cost of doing business is being further squeezed.
Less than two weeks ago, the chancellor described his budget as “a budget for growth”, it seems that inflation is now isolated as the only part of the economy seeing any growth.