Shop price inflation hits record low, says BRC

Shop price inflation fell for the 14th consecutive month in June, according to the latest figures from the British Retail Consortium (BRC). 

The BRC-Nielsen Shop Price Index 2014 discovered that overall shop price deflation accelerated to 1.8% in June, the deepest level of deflation since the report began in December 2006.

Non-food figures showed deflation accelerated from from 2.8% in May to 3.4% in June, the lowest ever recorded.

Helen Dickinson, director general, British Retail Consortium, said: “June saw plenty of good news for cash-conscious customers, and confirms that retailers have continued to work hard to help budgets go that bit further over the summer.

“The backdrop was equally promising with stable commodity markets and the continued strength of sterling suggesting inflation is set to remain low in the medium term. Although of course, a strong pound is not so good for those retailers exporting – one exciting and growing area in British retail.”