In response to increasing inflation, McDonald’s will raise the price of its cheeseburger in Britain by 20%, marking the first price increase for the well-liked food item in 14 years.
The price of the cheeseburger will now increase from 99 pence to 1.19 pounds. Customers were informed on Tuesday by McDonald’s UK director that other items affected by increased expenses will also see price increases of 10p to 20p.
According to Alistair Macrow, CEO of McDonald’s UK & Ireland, “these are really difficult times.” The effects of rising inflation are being felt by our business, our franchisees who own and run our restaurants, and our suppliers, just like you.
The rise, which will push the price of the cheeseburger past the psychologically significant 1 pound mark, comes as consumer price inflation in Britain is at 40-year highs and is anticipated to reach 11% in October.
According to Macrow, the price rises had been postponed as long as feasible because the business was dedicated to keeping costs low.
The chain, with its headquarters in Chicago, increased prices in the United States by 6% last year as well, following suit with price rises at other consumer-focused businesses that are dealing with greater inflation due to strong post-pandemic demand and supply chain disruption.
The greatest increase in pricing since these records began in 2005, according to the British Retail Consortium, occurred in the 12 months leading up to July, when prices in stores and supermarkets rose by 4.4 percent.
McDonald’s Corp. posted better-than-expected profit on Tuesday despite rising expenses, in part due to higher prices. As increasing inflation, particularly in Europe, drives some consumers to purchase fewer large combination meals, the company said it was also debating whether to add more discounted menu items.
