Shafaqna English– The UK’s Food and Drink Federation (FDF) forecast on Wednesday that food price inflation in the country is likely to reach approximately 4% by the end of this year and exceed 6% by mid-2027.
This projected increase is attributed primarily to three key factors: the U.S.-Iran war, which has disrupted energy supply chains; drought conditions in Europe, which have impacted agricultural output; and the El Niño weather phenomenon, which has altered climate patterns.
According to the FDF’s forecast, prices are expected to rise by 3.9% in December 2026 compared to a year earlier—a significant downward revision from its previous forecast of nearly 10%—but the federation emphasized that prices would continue to climb thereafter, peaking at 6.4% in July 2027.
FDF Chief Executive Karen Betts explained that food and drink manufacturers have kept prices as low as possible during the energy shock following the closure of the Strait of Hormuz, but this strategy cannot be sustained indefinitely.
She added that persistently rising energy, logistics, and packaging costs, compounded by this summer’s extreme heat, will drive food prices higher this year and maintain upward pressure into 2027. This forecast underscores the chronic pressures on food supply chains and production costs, which will inevitably affect British consumers in the coming months.
Source: Reuters