British Consumers Feel Pinch as UK Tops EU5 for FMCG Inflation

Research firm NielsenIQ has introduced an inflation barometer for fast-moving consumer goods (FMCG) in five major European markets. The tracker, which focuses on Western Europe's largest economies, reveals that Great Britain has the highest FMCG inflation among these countries at +2.3%.

This figure is significantly higher than the average of +1.1% across the EU5 group, which includes France, Germany, Italy, and Spain. The research found that non-alcoholic beverages recorded the highest inflation in Great Britain at +4.4%, followed by confectionery & snacks at +2.8% and frozen food at +2.7%. Homecare and paper products were in deflation at -1.1% and -0.9% respectively.

NielsenIQ's client director, Benjamin Cawthray, noted that the slowdown in FMCG inflation across Western Europe's largest markets has been significant. However, he highlighted that Great Britain remains an outlier with FMCG inflation holding above 2%, while France has moved back into deflationary territory.