Sainsbury’s cuts price of own-brand bread & butter as wholesale prices fall globally - how much do they cost
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Sainsbury’s has cut the price of its own brand butter and bread as wholesale prices begin to fall globally. Sainsbury’s said its own branded salted butter will be reduced from £1.99 to £1.89 for 250g packets from Tuesday (May 9), meanwhile its own-brand bread will be reduced from 85p to 75p.
Last month inflation was expected to fall below 10% but soaring food prices meant it fell by less than expected. However, Sainsbury’s said it was able to lower some of its bread and butter prices due to wholesale prices beginning to fall.
A Sainsbury’s spokesperson said: "Whenever we are paying less for the products we buy from our suppliers, we will pass those savings on to customers.”
The war in Ukraine is one of the reasons the price of food has increased across the world. But the UK has also faced issues of its own - from Brexit red tape to labour shortages.
However, supermarkets have started to cut prices on some products as commodity prices have started to fall. Aldi, Lidl and Asda recently followed in the footsteps of Sainsbury’s and Tesco in cutting the price of milk by at least 5p.
But the Office for National Statistics said the UK was "not there yet" in terms of supermarkets reflecting wholesale price falls. Meanwhile, in April the British Retail Consortium said there is a three to nine-month lag to see wholesale price falls reflected in shops, with production prices peaking in October 2022.
Sainsbury’s said its price drop would not have an impact on how much it paid farmers.