Many households have increasingly turned to cheaper products to offset soaring bills during the cost-of-living crisis. PA
Many households have increasingly turned to cheaper products to offset soaring bills during the cost-of-living crisis. PA
Many households have increasingly turned to cheaper products to offset soaring bills during the cost-of-living crisis. PA
Many households have increasingly turned to cheaper products to offset soaring bills during the cost-of-living crisis. PA

Budget and own-brand ranges 'worst hit' by UK supermarket inflation


Soraya Ebrahimi
  • English
  • Arabic

Prices of supermarket own-brand and budget products have increased more than premium and branded foods during the cost-of-living crisis, new figures show.

Which? tracked the annual inflation on tens of thousands of food and drink products across seven months at eight major supermarkets — Aldi, Asda, Lidl, Morrisons, Ocado, Sainsbury’s, Tesco and Waitrose — to find that own-brand and budget ranges have gone up by as much as 18 per cent.

During the same period, premium own-brand ranges rose by 13 per cent and branded items by 12 per cent.

Many households have increasingly turned to cheaper products to offset soaring bills during the cost-of-living crisis, with the latest Kantar figures showing own-label sales are up 11.7 per cent year on year while the cheapest value own-label lines are up 46.3 per cent.

Which? found the biggest year-on-year price increases on supermarket budget food and drink for the quarter ending October 31 were on Creamfields Soft Cheese (200g) at Tesco, up from 49p to 84p — an increase of 72 per cent — and Sainsbury’s Simply Muesli (1kg) which went from £1.20 in 2021 to £2.03 in 2022 — a 70 per cent increase.

What is a recession? — video

The 20 worst budget products for inflation across the supermarkets for the same period also included Tesco products including Hearty Food Co 2 Garlic Chicken Kievs (260g), Growers Harvest Orange Juice (3X200ml) and Rosedene Farms Small Pear Pack (550g), all soaring above 60 per cent in price over the year.

Sainsbury’s groceries also reported some of the highest inflation on budget items, such as its Hubbard’s Foodstore Sparkling and Still Waters (2L), J James & Family Fresh British Chicken Breaded Kyiv with Garlic Butter (240g) and Mary Ann’s Dairy Soft Cheese (200g), all going up in price by more than 50 per cent.

Which? findings show that the worst supermarkets for overall inflation on food and drink were Aldi (up 19.6 per cent) and Lidl (19 per cent). However, both discounters still tended to be the cheapest of the big supermarket chains.

The discounters were followed by Asda (15.2 per cent), Morrisons (14.4 per cent), Waitrose (14.2 per cent), Sainsbury’s (13.7 per cent) and Tesco (12.6 per cent). Ocado had the least inflation overall (10.3 per cent).

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“Our inflation tracker lays bare the shocking scale of soaring food and drink prices — including on budget and own-brand products,” said Sue Davies, Which? head of food policy.

“We know the big supermarkets have the ability to take action and make a real difference to people struggling through the worst cost-of-living crisis in decades.

“That’s why we’re calling on them to ensure everyone has easy access to basic, affordable food lines at a store near them, can easily compare the price of products to get the best value and that promotions are targeted at supporting people most in need.”

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Who is Mohammed Al Halbousi?

The new speaker of Iraq’s parliament Mohammed Al Halbousi is the youngest person ever to serve in the role.

The 37-year-old was born in Al Garmah in Anbar and studied civil engineering in Baghdad before going into business. His development company Al Hadeed undertook reconstruction contracts rebuilding parts of Fallujah’s infrastructure.

He entered parliament in 2014 and served as a member of the human rights and finance committees until 2017. In August last year he was appointed governor of Anbar, a role in which he has struggled to secure funding to provide services in the war-damaged province and to secure the withdrawal of Shia militias. He relinquished the post when he was sworn in as a member of parliament on September 3.

He is a member of the Al Hal Sunni-based political party and the Sunni-led Coalition of Iraqi Forces, which is Iraq’s largest Sunni alliance with 37 seats from the May 12 election.

He maintains good relations with former Prime Minister Nouri Al Maliki’s State of Law Coaliton, Hadi Al Amiri’s Badr Organisation and Iranian officials.

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Sporting Lisbon (POR) v Manchester City (ENG) 

Benfica (POR) v Ajax (NED) 

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Reform is a right-wing, populist party led by Nigel Farage, a former MEP who won a seat in the House of Commons last year at his eighth attempt and a prominent figure in the campaign for the UK to leave the European Union.

It was founded in 2018 and originally called the Brexit Party.

Many of its members previously belonged to UKIP or the mainstream Conservatives.

After Brexit took place, the party focused on the reformation of British democracy.

Former Tory deputy chairman Lee Anderson became its first MP after defecting in March 2024.

The party gained support from Elon Musk, and had hoped the tech billionaire would make a £100m donation. However, Mr Musk changed his mind and called for Mr Farage to step down as leader in a row involving the US tycoon's support for far-right figurehead Tommy Robinson who is in prison for contempt of court.

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Grey’s Anatomy — prosthetic leg

Scorpion — obsessive compulsive disorder and anxiety

Switched at Birth — deafness

One Mississippi, Wentworth and Transparent — double mastectomy

Dragons — double amputee

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Started: October 2020

Founders: Ahmad Hammouda and Seif Amr

Based: Cairo, Egypt

Sector: FinTech

Initial investment: pre-seed of $800,000

Funding stage: series A; $20 million

Investors: Tiger Global, Beco Capital, Prosus Ventures, Y Combinator, Global Ventures, Abdul Latif Jameel, Endure Capital, 4DX Ventures, Plus VC,  Rabacap and MSA Capital

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