The Institute of Grocery Distribution (IGD) said on the 16th that Middle East
tensions, rising production costs and extreme weather linked to El Nifio are
driving higher food inflation in the UK. IGD forecasts food inflation could peak
at about 3.9% this year and may approach 7% in 2027, with projected food price
rises of 2.9–3.9% in 2026, 5.6–6.6% in 2027 and 5.3–6.3% in 2028.