The Office of National Statistics (ONS) said the rate of consumer prices index inflation eased to 2.6% for the year to March, from 2.8% in February.
But there has been concern that this is only a temporary fall and there is likely to be further increases.
The data showed that food and non-alcoholic beverages prices rose by 3% in the 12 months to March 2025, down from 3.3% in the 12 months to February 2025.
Inflation
It also showed that the 12-month inflation rate for restaurants and hotels was 3% in March 2025, down from 3.4% in February.
BBPA chief executive Emma McClarkin said the news was welcome that inflation had fallen but, with fears it may rise again over the coming months, there is little respite for brewers and publicans.
“With rising energy costs and uncertainty caused by an unfair Extended Producer Responsibility (EPR) regime and increasing employment costs, pubs and brewers will continue to face mounting pressure to be able to keep their doors open and keep employing people,” said McClarkin.
“We will continue to work closely with the Government to press home the urgent need for a phasing in of employment costs, business rate reform, and to review the chaotic implementation of EPR so that pubs and brewers can continue to deliver for the UK economy.”
Price hikes
Last week, news broke that food prices are likely to see a “resurgence” in inflation as the impact of hikes in national Insurance, national minimum wage combined with upward price pressures on key commodities takes hold.
According to the CGA Prestige Foodservice Price Index, the underlying global economic factors and domestic policy changes present more challenges going forward.
