Morrisons cuts prices post-Brexit as supermarket price war rages on

The new prices will be introduced today, and include the price of chicken thighs dropping from £2.25 to £1.57 and the price of some toiletries and fruit and vegetables being reduced by as much as 56%.

Overall, Morrisons will cut prices on 1,045 products in the third wave of its investment into ‘Price Crunch’, a rolling programme of price cuts that the grocer launched at the start of February.

Morrisons reductions counter claims by analysts who predicted the outcome of the EU referendum would lead to inflation in supermarket prices and, amid the biggest fall in consumer confidence in 26 years, Morrisons hopes the price cuts will reassure its shoppers.

Morrisons’ customer and marketing director Andy Atkinson said: “We are constantly listening to our customers and know they are concerned about whether food prices will go up following the Brexit vote, especially on imports.”

The grocer’s move also steps up the price war between Britain’s big four supermarkets, which are striving to remain competitive as discounters Aldi and Lidl continue to grow market share.

Atkinson said: “We are British farming’s biggest supermarket customer, which means we can better control our prices, and this latest round of crunches demonstrates our commitment to offering the best possible value to our customers this summer.”

Last month, the value of supermarket sales fell to its lowest point in two years. Nielsen UK head of retailer and business insight Mike Watkins said: “With falling spend per visit, supermarkets are becoming more reliant on attracting new shoppers and encouraging loyalty from repeat visits in order to maintain sales momentum.”