On April 21, there was a stark discrepancy between retail sales and sales in UK food stores as food prices rose at the fastest pace in more than 45 years.
The average household is spending more and buying less in food shops as UK retail sales activity remains sluggish.
The current cost of living crisis in the UK is a key issue. With UK inflation continuing to remain in double digits in March, the Bank of England is under pressure to raise interest rates further in the coming months.
However, tight monetary policy and further tightening of fiscal conditions will, together with high inflation, put further pressure on households, creating a vicious cycle for everyday consumers.