The British Retail Consortium (BRC)-Nielsen Shop Price Index shows that overall shop price inflation increased from 1.2 to two per cent between March and April.
According to the monitor, this figure is still below the number recorded at the end of 2009 and the start of this year.
Senior Manager of Retailer Services at Nielsen Mike Watkins said: “The shop price index this month reflects the end of some seasonal and Easter discounts and, for food retailers, this also comes after the lowest inflation for three years.
“Whilst some inflationary cost price pressure remains in the background in particular for food, we still have a low growth environment.”
He added that retailers across all channels are currently relying on promotional activity, deep discounts and a plethora of loyalty schemes, as shopper demand remains “unpredictable”.
BRC Director General Stephen Robertson indicated that food inflation, at two per cent, is a quarter of what it was at this stage in 2009, while milk, cheese and eggs are all cheaper than they were last year.
The BRC-Nielsen Shop Price Index for May will be published on June 9th, and it will be interesting to see if tomorrow’s General Election has any early impact on the data.