Cost of living crisis: Which supermarkets are lowering their prices?

·3-min read
It’s hoped the move will help reduce food waste (Getty Images)
It’s hoped the move will help reduce food waste (Getty Images)

Two supermarkets have cut the price of hundreds of items to help people struggling with the soaring cost of living.

Inflation, which rose by 7 per cent in the 12 months to March, has driven the price of food and other grocery items up.

According to the Office for National Statistics, this is the highest recorded 12-month inflation rate since February 1992, when the rate stood at 6.3 per cent.

Supply chain issues caused by Brexit and the Russian invasion of Ukraine, as well as rising fuel and energy prices, have further pushed prices through the roof.

As of March, prices for food and non-alcoholic drinks rose by 5.9 per cent on the year, the highest 12-month rate since September 2011.

Britons are also struggling to keep up with the cost of living as incomes dwindle due to the national insurance hike, the return of VAT to 20 per cent from 12.5 per cent, and rising council tax bills.

Research published earlier this month by NielsenIQ showed that British shoppers are increasingly choosing supermarket-label products instead of branded products to keep costs down.

Customers may find some relief where supermarkets have pledged to lower the prices of some products, as retailers fight to keep shoppers from choosing discounters such as Aldi and Lidl.

Here’s everything you need to know about which supermarkets are lowering prices:

Asda

Asda has said it is reducing the price of more than 100 grocery staples, including tea bags, rice and cheese.

The move comes alongside the supermarket group’s pledge to increase hourly rates for staff to £10.10 from July, as part of a £73 million investment to support customers and employees.

Research by Asda found that nine in 10 customers are worried about inflationary pressures to their budgets while the disposable incomes of customers dived.

It said products covered by the “dropped and locked” price pledge will see an average reduction of 12 per cent.

The prices of some items could be dropped even further, such as a 25 per cent drop in the price of a bag of Asda easy cook rice to 75p.

It comes after the supermarket cut the cost of products in its Smart price range in February and made them more widely available following criticism by food poverty campaigner Jack Monroe.

Monroe wrote a viral Twitter thread about inflation figures that revealed how the price of the cheapest rice in her local supermarket surged by 344 per cent.

Mohsin Issa, co-owner of Asda, said: “We know that household budgets are being squeezed by an increasing cost of living and we are committed to doing everything we can to support our customers, colleagues and communities in these exceptionally tough times.

“We’re taking unprecedented action to give families some additional stability and certainty in their weekly shopping by lowering and locking over 100 prices until the end of the year.”

Morrisons

Morrisons has said it would offer an average 13 per cent price cut on more than 500 products.

These include cupboard essentials, fridge staples and frozen foods, on products like eggs, baked beans and rice.

The supermarket also cut the price of a quarter own-brand products including Morrisons Savers, Morrisons Wonky in produce and Morrisons Essentials in homeware and health and beauty.

For example, the price of Morrisons paracetamol will now cost 29p instead of 65p, and a pack of four Morrisons beef burgers will cost £3.49 instead of £4.

David Potts, chief executive of Morrisons, said: “We know that our customers are under real financial pressure at the moment and we want to play our part in helping them when it comes to the cost of grocery shopping.

“These price cuts will have a noticeable and long term impact on our customers’ budgets and demonstrate our commitment to offering them the best possible value.”

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