Recognizing Britons’ continuing concerns about inflation, U.K. grocers are slashing prices on staple seafood products.
Rising inflation continued to impact U.K. seafood sales in December, which dropped despite being typically higher for the Christmas holiday. The overall chilled fish category in the U.K. realized a 1.3 percent drop in sales in the quarter ending in December 2022 compared to the same quarter in 2021, according to data provided to SeafoodSource by research firm Kantar. Chilled fish prices soared by 7.7 percent in December, after rising 5.2 percent in November, according to Kantar.
Hit worse was the smoked fish sub-category, which experienced a sales drop of 8.1 percent, driven by a steep decline in shopper numbers and frequency, according to Kantar.
Natural fish sales soared 6 percent during the quarter, even though sales volumes dropped 4.3 percent, as prices increased by 10.7 percent. Overall U.K. grocery sales rose 9.4 percent in December, reaching a record for the month at GBP 12.8 billion (US 15.4 billion, EUR 14.5 billion), according to Kantar.
“Value sales are up significantly, but grocery price inflation is the real driving factor behind this, rather than increased purchasing,” Kantar Head of Retail and Consumer Insights Fraser McKevitt said. “If we look at the amount people bought this period, sales measured by volume are actually down by 1 percent year-on-year, showing the challenges shoppers are facing.”
A growing problem through 2022, U.K. grocery price inflation was 14.4 percent in December, a slight decline from 14.6 percent in November, McKevitt said.
“This is the second month in a row that grocery price inflation has fallen, raising hopes that the worst has now passed,” McKevitt said. “However, it’s still a painfully high figure at the current rate, impacting how and what we buy at the shops.”
To help shoppers concurred about grocery inflation, Morrisons is cutting prices for 130 of its Savers Range products, including frozen fish fingers and prawns, along with tinned tuna chunks.