Shop price inflation in the UK slowed to its lowest level since December 2025 in July, helped by widespread summer discounts and promotions linked to the men's football World Cup,
according to the British Retail Consortium (BRC).
The BRC said average prices at UK retailers were 0.9% higher than a year earlier, down from an annual increase of 1.2% in June. On a monthly basis, shop prices fell by 0.1%.
The retail industry group said supermarkets cut the prices of alcohol and snack foods during the tournament, while many clothing and footwear retailers also discounted seasonal stock.
BRC chief executive Helen Dickinson said retailers had "competed hard" to limit price increases, with a wave of summer promotions across food and non-food goods helping to ease inflationary pressures.
Food price inflation slowed to 2.2% in July from 2.4% the previous month, marking its lowest level since February 2025.
Non-food inflation also eased, falling to 0.2% from 0.6% in June. However, the BRC said prices for electrical goods, health and beauty products continued to rise because of higher semiconductor and manufacturing costs.
The survey was based on prices collected between 1 and 9 July.
The figures add to signs that inflationary pressures have eased in recent months. Official data from the Office for National Statistics showed consumer price inflation fell to a 15-month low of 2.6% in June.
However, the Bank of England has warned inflation could climb again later this year, forecasting consumer price inflation to rise to just above 3.25%, largely because of higher energy costs linked to the conflict between the United States and Iran. Photo by Velela at English Wikipedia, Wikimedia commons.
