Tesco sees early signs inflation is starting to ease
Tesco’s CEO, Ken Murphy, has expressed optimism regarding a potential slowdown in price rises, as the supermarket reported an increase in sales. Tesco’s said that UK sales for the three months leading up to May rose by 9% compared to the previous year, amounting to £10.8 billion.
Households have been grappling with rising prices, with food inflation reaching 19.1% in the year ending April. Murphy acknowledged the financial strains faced by shoppers due to the cost of living but refuted claims of profiteering by Tesco. He stated, “There are encouraging early signs that inflation is starting to ease across the market.”
Critics have accused food retailers of engaging in “greedflation,” wherein prices are raised to boost profits. The competition watchdog is currently investigating whether a lack of competition has resulted in customers paying inflated prices.