In the face of rising inflation in the UK’s food retail sector, supermarket chain Morrisons said on Monday that it would be lowering prices on over 500 products.
After Tesco (TSCO.L), Sainsbury’s (SBRY.L), and Asda, the UK’s fourth largest retailer claimed the lower prices cover 6% of total volume sales.
According to industry data, Morrisons, which has been controlled by Clayton, Dubilier & Rice since October, has been the weakest performer among Britain’s so-called “big four” grocers in recent months.
It stated that necessary commodities such as eggs, baked beans, rice, coffee, cereals, poultry, sausages, and nappies will be reduced in price. According to the report, the average savings was 13%.
Morrisons has also launched new “multi save” discounts, such as two boxes of cereal for 1.80 pounds ($2.30), as well as a “Compare & Save” campaign to help buyers uncover savings by substituting branded items for Morrisons’ own brand products.
The biggest compression on UK household incomes since the 1950s is being caused by rising costs.
Last month, industry data revealed that supermarket price inflation reached 5.2 percent in the four weeks ending March 20, the highest level since April 2012.
Supermarket chains frequently strive to retain the costs of so-called “known value items,” which buyers instinctively know the price of, while raising the prices of other things.
In March, the UK’s overall inflation rate reached a 30-year high of 7%, with a record of nearly 9% projected later this year.
According to a survey released on Friday, consumer confidence in the United Kingdom has dropped to its lowest level in nearly 50 years.