Americans’ grocery budgets may get squeezed again this year. Farmers are facing a number of challenges that threaten to increase costs throughout the food supply chain. Food inflation has cooled significantly compared to the double-digit increases in 2022.

The BRC said there was ‘little hope of prices going anywhere but up’ amid higher national insurance, National Living Wage and packaging costs.

There is "little hope" of food prices "going anywhere but up" in the second half of 2025 due to changes announced in the Budget, a retail lobby group has warned. The costs of higher wages and National Insurance tax changes coming in April will be passed on to consumers,