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In May, the prices of shops in Britain have decreased slightly, but inflation pressure is growing


According to the British retail consortium (BRC), in May, shop prices fell 0.1% year-on-year as much as in April. However, food prices rose by 2.8%, compared to 2.6% in April.

BRC CEO Helen Dickinson noted that retailers collide with higher salary taxes and national minimum wage growth. He added that the new packaging tax and labor market laws can increase costs even more.

Last week, official data showed that consumer inflation in April exceeded the expectations in Britain, forcing investors to predict the decline in interest rates by the Bank of England.