Food inflation hits two-year high

Food prices rose 4.9% in May, their highest level in nearly two-years, according to the latest figures from the British Retail Consortium (BRC). The BRC report shows food price inflation climbed from 4.7% in the year to April as firms passed on spiralling commodity costs. And experts warn they could go even higher as near-drought conditions across southern England have sparked crop shortages. The agricultural cost of meat rose 16% in the past year, with wheat up more than 70% and corn increasing more than 110%. The increase comes as other household bills soar and incomes are squeezed, leaving many families facing a daily struggle with money. Stephen Robertson at the BRC said: “Recent volatility in key commodity costs, linked to dry weather and global demand, is working through to the shop price of some foods.”