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Indicator Digest

Retail Prices
  • UK

Main Indicator: BRC Shop Price Index y/y

Most Recent Release

June
2nd, 2009
Actual Forecast Previous Revised Form
1.3% 1.4% N/A

For May
Provided by: British Retail Consortium
Official Release: DOC

Shop Prices m/m: 0.5%, pr. -0.5% (Apr), 0.4% (Mar), 1.2% (Feb),
0.2% (Jan), -2.0% (Dec), 0.2% (Nov), -0.1% (Oct), 0.0% (Sep), 0.5% (Aug)

From the Release: "In May the BRC-Nielsen Shop Price Index (SPI) reported annual inflation falling to 1.3% from 1.4% in April. This is the second consecutive month that inflation has slowed down. On a month-on-month basis prices increased 0.5% in May after falling 0.5% in April.

Mike Watkins, Senior Manager, Retailer Services, Nielsen comments: "Fresh food inflation has now fallen for a third consecutive month. It appears that the pound's recent depreciation has had most of the effect it's going to on food prices and we are seeing the benefits of lower commodity prices working through to shop prices. With summer approaching, supermarkets are using high levels of promotions on seasonal lines to draw in customers which are also helping keep food prices lower. Non-food prices fell again but more slowly, suggesting that exchange rate depreciation is continuing to influence the prices of many imported non-food products."

Next Release Date: July 07th 2009, 19:01 EST

Table of Past Data

9/310/811/512/31/72/43/44/85/56/2
Actual3.8%3.6% 3.0%2.7%0.5%1.1%1.9%2.0%1.4%1.3%
Forecast
Previous3.2%3.8% 3.6%3.0%2.7%0.5%1.1%1.9%2.0%1.4%
Revised FromN/AN/AN/AN/AN/AN/AN/AN/AN/AN/A

Secondary Indicator: Retail Price Index y/y

Most Recent Release

June
16th, 2009
Actual Forecast Previous Revised Form
-1.1% -1.5% -1.2% N/A
For May
Provided by: Office of National Statistics

RPI m/m: 0.6%, forecast 0.2%,  pr. 0.1% (Apr), 0.0% (Mar), 0.6% (Feb),
-1.3% (Jan), -1.4% (Dec), -0.8% (Nov), -0.3% (Oct), 0.6% (Sep),
0.3% (Aug), -0.1% (Jul), 0.8% (Jun), 0.5% (May), 0.9% (Apr)

See Consumer Price Index for commentary.

Table of Past Data

8/129/1611/1812/161/202/173/244/215/196/16
Actual5.0%4.8%4.2%3.0%0.9%0.1%0.0%-0.4%-1.2%-1.1%
Forecast4.9%5.0%4.6%3.2%0.7%-0.1%-0.7%-0.5%-1.2%-1.5%
Previous4.6%5.0%5.0%4.2%3.0%0.9%0.1%0.0%-0.4%-1.2%
Revised FromN/AN/AN/AN/AN/AN/AN/AN/AN/AN/A

Past Releases

Retail Price Index y/y
May
19th, 2009
Actual Forecast Previous Revised Form
-1.2% -1.2% -0.4% N/A
For April
Provided by: Office of National Statistics

RPI m/m: 0.1%, forecast 0.2%, pr. 0.0% (Mar), 0.6% (Feb), -1.3% (Jan),
-1.4% (Dec), -0.8% (Nov), -0.3% (Oct), 0.6% (Sep), 0.3% (Aug),
-0.1% (Jul), 0.8% (Jun), 0.5% (May), 0.9% (Apr)

See Consumer Price Index for commentary.

BRC Shop Price Index y/y
May
5th, 2009
Actual Forecast Previous Revised Form
1.4% 2.0% N/A

For April
Provided by: British Retail Consortium
Previous Release: DOC

Shop Prices m/m: pr. 0.4% (Mar), 1.2% (Feb), 0.2% (Jan), -2.0% (Dec),
0.2% (Nov), -0.1% (Oct), 0.0% (Sep), 0.5% (Aug), 0.1% (Jul)

Retail Price Index y/y
April
21st, 2009
Actual Forecast Previous Revised Form
-0.4% -0.5% 0.0% N/A
For March
Provided by: Office of National Statistics

RPI m/m: 0.0%, forecast -0.2%, pr. 0.6% (Feb), -1.3% (Jan), -1.4% (Dec),
-0.8% (Nov), -0.3% (Oct), 0.6% (Sep), 0.3% (Aug), -0.1% (Jul), 0.8% (Jun),
0.5% (May), 0.9% (Apr)

See Consumer Price Index for commentary.

BRC Shop Price Index y/y
April
8th, 2009
Actual Forecast Previous Revised Form
2.0% 1.9% N/A

For March
Provided by: British Retail Consortium
Official Release: DOC

Shop Prices m/m: 0.4%, pr. 1.2% (Feb), 0.2% (Jan), -2.0% (Dec),
0.2% (Nov), -0.1% (Oct), 0.0% (Sep), 0.5% (Aug), 0.1% (Jul)

 From the Release: " In March the BRC Nielsen Shop Price Index (SPI) reported annual inflation rising to 2.0% from 1.9% in February.  This marks the fourth consecutive month of rising shop price inflation.  Overall inflation is being driven entirely by the food component, while the rate of non-food deflation has continued to fall since its peak in December 2008.

The BRC's Director General, Stephen Robertson, said: "The shop price of food is increasing because retailers are paying more for their supplies. The majority of food consumed in the UK is sourced here, but the weak pound is pushing up prices for domestic produce as it becomes more attractive to overseas buyers and its increasing the cost of imports. The pound has fallen by around a quarter since summer 2007.

"The good news for customers is food inflation is lower than its peak last year and non-food goods, such as clothing and electricals, are also still cheaper than they were a year ago."

Retail Price Index y/y
March
24th, 2009
Actual Forecast Previous Revised Form
0.0% -0.7% 0.1% N/A
For January
Provided by: Office of National Statistics

RPI m/m: 0.6%,  forecast -0.1%, pr. -1.3% (Jan), -1.4% (Dec), -0.8% (Nov),
-0.3% (Oct), 0.6% (Sep), 0.3% (Aug), -0.1% (Jul), 0.8% (Jun), 0.5% (May),
0.9% (Apr)

See Consumer Price Index for commentary.

BRC Shop Price Index y/y
March
4th, 2009
Actual Forecast Previous Revised Form
1.9% 1.1% N/A

For February
Provided by: British Retail Consortium
Official Release: DOC

Shop Prices m/m: 1.2%, pr. 0.2% (Jan), -2.0% (Dec), 0.2% (Nov),
-0.1% (Oct), 0.0% (Sep), 0.5% (Aug), 0.1% (Jul)

From the Release: "In February the BRC Nielsen Shop Price Index (SPI) reported annual inflation rising to 1.9% from 1.1% in January. After a period of falling inflation since the highs of last summer, the latest two months have seen a reversal of this trend. Food inflation increased to 9.0% in February from 7.5% in January, while the non-food category showed deflation of 1.7% compared with this time last year. On a month-on-month basis the overall price level increased by 1.2%. The food category showed inflation of 2.0%, while non-food reported inflation of 0.8%.

The BRC's Director General, Stephen Robertson, said: "Increasing farmgate prices for fresh meat drove food inflation to its highest rate since September. The weak pound has made UK produce more attractive for overseas buyers, restricting supplies at home and pushing prices up. Non-food goods, especially electricals, continued to be cheaper than a year ago but prices fell more slowly as exchange rates increased the cost of imports and some discounts ended. But overall shop price inflation is still half its peak of last year."
Retail Price Index y/y
February
17th, 2009
Actual Forecast Previous Revised Form
0.1% -0.1% 0.9% N/A
For January
Provided by: Office of National Statistics

RPI m/m: -1.3%,  forecast -1.5%, pr. -1.4% (Dec), -0.8% (Nov), -0.3% (Oct),
0.6% (Sep), 0.3% (Aug), -0.1% (Jul), 0.8% (Jun), 0.5% (May), 0.9% (Apr)

See Consumer Price Index for commentary.

BRC Shop Price Index y/y
February
4th, 2009
Actual Forecast Previous Revised Form
1.1% 0.5% N/A

For January
Provided by: British Retail Consortium
Previous Release: DOC

Shop Prices m/m: pr. -2.0% (Dec), 0.2% (Nov), -0.1% (Oct), 0.0% (Sep),
0.5% (Aug), 0.1% (Jul)

Retail Price Index y/y
January
20th, 2009
Actual Forecast Previous Revised Form
0.9% 0.7% 3.0% N/A
For November
Provided by: Office of National Statistics

RPI m/m: -1.4%, forecast -1.5%, pr. -0.8% (Nov), -0.3% (Oct), 0.6% (Sep),
0.3% (Aug), -0.1% (Jul), 0.8% (Jun), 0.5% (May), 0.9% (Apr)

See Consumer Price Index for commentary.

BRC Shop Price Index y/y
January
7th, 2009
Actual Forecast Previous Revised Form
0.5% 2.7% N/A

For December
Provided by: British Retail Consortium
Official Release: DOC

Shop Prices m/m: -2.0%, pr. 0.2% (Nov), -0.1% (Oct), 0.0% (Sep),
0.5% (Aug), 0.1% (Jul)

From the Release: "In December the BRC Nielsen Shop Price Index (SPI) reported annual inflation slowing to 0.5% from 2.7% in November. The sharp deceleration reflects unprecedented levels of discounting on the High Street as well as the reduction in VAT. On a month-on-month basis the price level has been largely affected by heavy discounting in the run up to Christmas and the cut in VAT. The overall monthly index measured deflation of 2.0% in December compared with inflation of 0.2% in November.

Huge discounting by retailers, together with the VAT reduction, brought non-food prices down dramatically. Goods in every category were much cheaper - both compared with the previous month and a year ago. Electricals, books and home entertainment prices were all around five per cent lower than last year.

Food inflation fell again - to its lowest level since last May, due to lower oil and commodity prices. It's clear retailers are holding down shop prices at a time when many of their own costs are increasing. The Government shouldn't be adding cost burdens, such as record high business rate increases, at a time when margins are being severely squeezed."

Retail Price Index y/y
December
16th, 2008
Actual Forecast Previous Revised Form
3.0% 3.2% 4.2% N/A
For November
Provided by: Office of National Statistics

RPI m/m: -0.8%, forecast -0.6%, pr. -0.3% (Oct), 0.6% (Sep), 0.3% (Aug),
-0.1% (Jul), 0.8% (Jun), 0.5% (May), 0.9% (Apr)

See Consumer Price Index for commentary.

BRC Shop Price Index y/y
December
3rd, 2008
Actual Forecast Previous Revised Form
2.7% 3.0% N/A

For November
Provided by: British Retail Consortium
Official Release: DOC

Shop Prices m/m: 0.2%, pr. -0.1% (Oct), 0.0% (Sep), 0.5% (Aug),
0.1% (Jul)

From the Release: "High-profile discounting and falling prices for key commodities have brought overall shop price inflation down even more from its peak in August. The rate of food inflation has fallen by nearly a third in just three months. Clothing, footwear and electricals are actually cheaper than they were last year.

"The VAT cut will contribute to reducing inflation further in December but can't make a big difference to consumer spending on its own.

"The Bank of England should have the courage to cut rates by another whole point."

Retail Price Index y/y
November
18th, 2008
Actual Forecast Previous Revised Form
4.2% 4.6% 5.0% N/A
For October
Provided by: Office of National Statistics

RPI m/m: -0.3%, forecast 0.1%, pr. 0.6% (Sep), 0.3% (Aug), -0.1% (Jul),
0.8% (Jun), 0.5% (May), 0.9% (Apr)

See Consumer Price Index for commentary.

BRC Shop Price Index y/y
November
5th, 2008
Actual Forecast Previous Revised Form
3.0% 3.6% N/A

For October
Provided by: British Retail Consortium
Official Release: DOC

Shop Prices m/m: -0.1%, pr. 0.0% (Sep), 0.5% (Aug), 0.1% (Jul)

From the Release: 

"Year-on-Year:
The BRC-Nielsen Shop Price Index (SPI) for October reports annual shop price inflation of 3.0% down from 3.6% seen in September. This is the second consecutive month that inflation has fallen. The easing in the overall SPI has been helped by food inflation falling to 7.5% in October compared with 9.1% in September. Non-food reported annual inflation of 0.7% in October which also showed signs of easing, down from 0.8% in September.

Month-on-Month:
Overall shop prices fell this month for the first time this year by 0.1%. Compared with the previous month there were also falls in the price of food and non-food products.

The BRC's Director General, Stephen Robertson, said:
"After a painful climb to the food inflation peak we're now accelerating down the other side. Food inflation is falling. It's falling more rapidly and we're now at the lowest rate since May. Non-food price rises are below one per cent and slowing, with electricals and clothing actually cheaper than last year. With oil and wheat thirty per cent down on a year ago, and the battle on for every pound customers have to spend, retailers are rushing to pass the benefits on. Would it be too much to ask that oil and utility companies do the same? Without our highly competitive retail sector Christmas would be a lot less affordable for struggling households."

BRC Shop Price Index y/y
October
8th, 2008
Actual Forecast Previous Revised Form
3.6% 3.8% N/A

For September
Provided by: British Retail Consortium
Official Release: DOC

Shop Prices m/m: 0.0%, pr. 0.5% (Aug), 0.1% (Jul)

The pace of prices in shops in the UK decreased in September, falling from an annual pace of 3.8% in August to 3.6%. ON the year, food prices were 9.1% higher while non-food items were up only 0.8%. On the month, food prices were down 0.2% and non-food items rose 0.1%. The economists from the BRC are seeing a peak in inflation and call for the Bank of England to lower rates. That wish came true as the Bank of England in coordination with other central banks today lowered rates.

From the Release: "The BRC-Nielsen Shop Price Index (SPI) for the UK reports annual shop price inflation of 3.6% in September, decreasing from 3.8% in August. This marks the first decrease in the overall shop price index since March 2008. Overall inflation can mostly be attributed to food, with ambient and fresh categories increasing by 6.7% and 10.7%, respectively. On a month-on-month basis prices were broadly flat."

Retail Price Index y/y
September
16th, 2008
Actual Forecast Previous Revised Form
4.8% 5.0% 5.0% N/A

For August
Provided by: Office of National Statistics

RPI m/m: 0.3%, forecast 0.4%, pr. -0.1% (Jul), 0.8% (Jun),
0.5% (May), 0.9% (Apr)

BRC Shop Price Index y/y
September
3rd, 2008
Actual Forecast Previous Revised Form
3.8% 3.2% N/A

For August
Provided by: British Retail Consortium
Official Release: DOC 

Shop Prices m/m: 0.5%, pr. 0.1%

From the Release: ""There is some comfort from these figures. For the first time since March the growth rate of food inflation slowed offering the prospect that we may be nearing the peak of food inflation. Despite retailers facing rising fuel and electricity bills, overall shop prices in August are well below the official rate of inflation, as retailers shield customers from the full effects of rising costs." 

 "Over the summer we have seen other household bills increasing faster than shop prices. As a result, shoppers have started to limit spend on non-foods, seek out new promotional offers in food and also shop at different food retailers. Shop price inflation is likely to continue through the autumn but we are hopeful that the acceleration in cost prices that has driven food prices up so sharply is starting to slow."

Retail Price Index y/y
August
12th, 2008
Actual Forecast Previous Revised Form
5.0% 4.9% 4.6% N/A

For July
Provided by: Office of National Statistics

RPI m/m: -0.1%, forecast -0.3%, pr. 0.8% (Jun), 0.5% (May), 0.9% (Apr)

Retail pricces, just like the CPI, surprised on the upside, hitting 5% on an year-over-year basis for July.

See "Consumer Price Index y/y" for more commentary.   

From the Release: "Retail Prices Index (RPI) inflation rose to 5.0 per cent in July, up from 4.6 per cent in June. The main factors affecting the CPI also affected the RPI. Additionally, there was a large downward contribution from housing with the main effect coming from house depreciation. Depreciation is excluded from the CPI."