Britain Braces for Fresh Food Inflation Shock Amid European Heatwaves

Britain is bracing for a fresh food inflation shock as severe heatwaves and droughts across Europe threaten harvests of fruits, vegetables, and grains. The Food and Drink Federation warns that extreme weather events are disrupting supplies of key agricultural commodities, with shortages already emerging in some UK-grown crops.

Poor grain harvests are increasing the cost of animal feed, creating a second-round effect for meat and dairy producers. Higher feed costs can encourage farmers to reduce herd sizes, tightening supplies and increasing prices further down the chain.

Dr Liliana Danila, chief economist at the FDF, said that competition for fewer resources will push up the price of ingredients for manufacturers. The warning comes as another heatwave approaches the UK, with temperatures in the mid-30s forecasted in parts of the country on Thursday.