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Tax Hikes Risk Soaring Inflation Amid Rising Food Prices

9/30/2025

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Story summary
  • Tax increases could worsen inflation as shop price inflation rose to 1.4% in September, up from August.
  • The British Retail Consortium (BRC) says non-food deflation may end, while food inflation sits at 4.2%.
  • Industry leaders urge the government to avoid higher supermarket taxes. Energy and labor costs, including National Insurance, push prices higher, with food inflation near 5.7% by Christmas.