UK inflation on food price hit 3.7% in December

Food price inflation surged to 3.7% in December, its highest level since March, helping drive a standout festive season for supermarkets. Sales across major grocery chains rose by 2.1% in the four weeks leading up to 29 December compared to the same period last year, according to analysts at Kantar. However, the increase was largely underpinned by rising food prices, which jumped more than a full percentage point from November’s 2.6%.

Tesco leads with 28% market share

Inflation, which has been creeping upward since July, accelerated sharply in December, driven by higher prices for confectionery, skincare products, and juices. As a result, average household spending on festive take-home groceries reached a record-breaking £460.

M&S shines with premium products

Over the three months to the end of December, Tesco cemented its position as the UK’s market leader, increasing take-home grocery sales by 5% and claiming over 28% of market share. Sainsbury’s followed with a 3.5% sales increase, while discount retailer Lidl posted an impressive 6.6% rise. Marks & Spencer saw the biggest leap, up 8.7%, reflecting strong demand for its premium products.

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