KitKats, Toffee Crisps, Lion Bars and more may soon cost more than you think. This is of course, yup you guessed it, all down to Brexit. Nestle is battling to control costs amid post-Brexit turmoil in the value of the pound. Worries about price increases from the company Nestle were raised as chief executive Paul Bulcke announced that the firm were ‘considering all the options’ when dealing with the growing pressures following the EU referendum.
For the past few years we’ve been talking about the price rising of Cadbury’s Freddo, seeing it’s costs raised from 10p to 25p from 2000-2015. However small a price rise that may seem (15p) it has got customers complaining a lot, especially as when looking at the trends in the price rise we could be shelling out 38p for a Freddo in 2030! Also, sizes have seemed to have changed in chocolate bars and other products over the years, companies selling us less for the same or even more money.
So what does this mean for our food prices now? Lots of things, food and other products are going to get more expensive due to Brexit but just what will be affected? Here’s a list of 5 things that have been reported to be seeing a pay rise quite soon.
Fresh produce such as British Apples are more at risk of inflation than other goods according to the IFS. This is thanks to fuel prices going up, therefore transporting them will be more expensive and companies are likely to reflect this on their selling prices.
Highly mediated, the row between Unileve & Tesco highlights current pressures on prices. The deal that was made is not clear however it’s likely that there is to be a compromise on the original demand of a 10% increase, according to Mintel Retail.
‘Imported goods such as coffee have risen in price by 12% in recent months’, says Sarah Hewin of Standard Chartered. These increasing costs of raw materials look set to challenge manufacturers and some may have to increase their selling prices to make ends meet.
With the prices of raw materials such as metal and wood set to increase, we may be seeing furniture prices going up. It may be a good idea to take advantage of those Christmas deal adverts that are bound to be coming up on our televisions!
So, should we squirreling away our pennies and starting to be cautious about our spending? Well nothing is set in stone as of yet, most of these are of course all predictions. However you might want to stock up on your chocolate supplies whilst it’s still at it’s lower price!