Inflation now at record 4.4%

Tuesday, 12 August 2008
Inflation in Britain now stands at 4.4%, according to the Consumer Prices Index, partly helped upwards by the food sector.

During July, food inflation grew to a record of 13.7%, while meat rose 16.3% year-on-year, the statistics showed.

Various other food products rose in price, such as cheese, bread, milk and bacon, with the latter having jumped to 13%, the Office for National Statistics revealed.

Economist at the National Farmers' Union Richard George said that much of the development can be linked to growing energy costs.

"That remains the biggest issue and it takes time for these factors to make their way through the system. We are still half way through that process," he commented to Channel 4 News.

Sales growth occured in the food and drink sector in July, the British Retail Consortium has said, despite a dip in overall sales values.
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