UK Grocery Inflation Hold Steady at 4.7%, Putting Pressure on Households

British grocery inflation stayed at 4.7% in the four weeks to November 30, keeping the pressure on households as they head into the Christmas holiday period. According to data from Worldpanel by Numerator, the figure provides an early indication of pricing pressures ahead of official UK inflation data on December 17. The Bank of England is closely watching food prices, as they play a big role in shaping the public's overall inflation expectations. Prices are rising fastest in chocolate confectionery, fresh meat, and poultry, while falling fastest in sugar confectionery, household paper, and fragrances. UK grocery sales rose by 3.4% in November year-on-year, indicating volumes were down after inflation is taken into account. Retailers are ramping up investment in promotions to encourage shoppers, with sales expected to exceed £13.6 billion in December. Tesco and Sainsbury's are winning market share, while Asda struggles, with sales falling 4.3% and its share falling to 11.5%.