Annual shop prices decelerated to 7.6% in July – down from 8.4% in June – according to the BRC-NielsenIQ shop price index. This was below the three-month average inflation rate of 8.4% and down to the lowest level seen in 2023.

Prices deflated across categories, with food inflation decelerating to 13.4% in July, down from 14.6% in June. This was below the three-month average and the third consecutive month of falling prices.