Morrisons will cut the price on 1045 products by an average of 18 per cent in an aim to provide a post-EU referendum boost for shoppers.
The reductions are the latest in price war between the Big 4 supermarket retailers as they scramble to bring back customers lost to discount grocers Aldi and Lidl.
Morrisons’ price cuts, which begin today, goes against analysts’ predictions that the recent Brexit vote could lead to an inflation in supermarket prices – especially after the fall in the sterling because of how the vote would make importing ingredients and products more expensive.
With consumer confidence in July at its worst in 26 years according to GfK, Morrisons hopes the price cuts will reassure its customers.
“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,” Morrisons’ customer and marketing director Andy Atkinson said.
“Morrisons is unique as a food-maker and shopkeeper, and unlike the rest of the industry manufactures food, both in our own food processing plants and our 500 stores.
“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.”
All of the Big 4 supermarket chains – Tesco, Sainsbury’s, Asda and Morrisons – have experienced a decline in their sales in the past few months.