Until now, the cost of living crisis has been most closely associated with energy bills - but soon food costs will overtake energy as the main inflation driver.
Food costs are set to overtake energy bills in driving up UK inflation this summer, a new report has warned, reports The Manc.
The report by the Resolution Foundation has found that the cost of living crisis - until now dominated by sky-high energy bills - will soon be driven by rocketing food prices, once again hitting poorer UK households the hardest.
According to the report, whilst energy prices have risen faster in the UK it is still food that makes up the largest share of a typical household's outgoings.
As a result, as food prices continue to rise whilst energy bills fall back this summer it is predicted that the cost of eating will become the biggest threat to people's finances.
Food prices have increased by 25 per cent over the past year and a half, greatly impacting the squeeze on living standards in low and middle-income households.
And now, grocery bills are expected to increase again over the summer.
According to the thinktank behind the report, it was not clear that politicians were currently prepared for another year of food price rises or that “policy debates have caught up with the scale of what is going on”.
Food price inflation reached around 19 per cent in March, the highest in almost half a century. As a result, the report asserts that food prices will be 'contributing far more than energy to CPI inflation through the remainder of 2023.'
The report said: "By this summer, food costs will have overtaken energy bills in the scale of the shock they are administering to family finances."
The Resolution added that it can also model the scale of the impact across individual households, suggesting that this summer 16 million households (56 per cent) will face a big shock when it comes to paying for their food.
The Bank of England governer Andrew Bailey told business leaders earlier this month that he was 'concerned' that food and other non-energy prices would remain elevated.
Typically, food prices in the UK fall in the summer as locally-grown crops replace those imported from abroad.
However, factory gate prices for milk, meat and other foods have accelerated, in some cases by more than 50% year on year.
The Resolution Foundation’s report, Food for Thought, says food prices are expected to contribute “more to overall inflation than energy” in the months ahead.
“Between March and September 2023, food prices are expected to contribute around 2 percentage points to inflation each month, while the contribution of energy prices is set to fall from 3 percentage points to less than 1,” the report estimates.
The cost to the nation from higher food prices since the 2019-20 financial year would be £28bn by the end of the summer, compared with an extra £25bn cost from higher energy prices, it added.
Lalitha Try, one of the report’s authors, said: “Everyone realises food prices are rising but it’s less clear that the scale of the increases has been understood in Westminster.”
“What rising food prices have in common with surging energy bills is that they pose a greater challenge to lower-income households, who spend a higher proportion of their income on food – 15%, compared with 10% for the highest-income households in 2019-20.
“As a result, the effective inflation rate for the poorest 10th of households was almost 50% higher compared with the richest 10th of households in March.”
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What is going to be included in the UK’s planned under-16s social media ban?
In case you missed the landmark announcement yesterday, it has been confirmed that social media is to be banned for under-16s in the UK.
That’s right – in what is said to be a bid to ‘give kids their childhood back’ and set ‘a new normal’ for future generations by kickstarting a cultural shift, the Government has announced that social media platforms will be banned from offering their services to under-16s – meaning less time for scrolling and more time for play.
The Government says it plans to use the same model for a social media ban as Australia, which was introduced back in 2024.
But what exactly does that mean? And what social media platforms are set to be included within the upcoming ban and which ones aren’t?
Well, according to the Government and Technology Secretary Liz Kendall, the UK’s ban would capture user-to-user platforms, whose purpose is to enable social interaction, allow users to post their own material, alongside algorithms.
The Government has announced a social media ban for under 16s / Credit: Julian Christ (via Unsplash)
The ban will, therefore, include popular social media platforms like Snapchat, TikTok, YouTube, Instagram, Facebook, and X.
But crucially, at this time, it is not intended for messaging services like WhatsApp to be included.
The Government says it is also planning to go even further than any other country, as on top of a blanket ban on social media, world-leading blocks on harmful functions – such as livestreaming and stranger communication with children – will also be blocked for under-16s, and will apply to a wider range of online services, including on gaming sites.
Restrictions on these functionalities will also be on by default for 16- and 17-year-olds to prevent what ministers are calling a ‘cliff-edge’ at 16.
And to go even further, the Government says it will be ‘looking in more detail’ at the potential to introduce overnight curfews and breaks in infinite scrolling for those under 18 – with more information to be provided on this next month.
“This is a decisive first step which marks a clear choice to put children’s wellbeing first and give them a healthy life online,” the Government said in a statement. “We stand ready to take further measures in the future.”
Speaking on the upcoming ban and further restrictions, Prime Minister Keir Starmer said: “Parents want to keep their kids safe and happy, but the online world has made that harder than ever.
“I’ve heard first hand from families crying out for change and we will do right by them.
“That’s why we’re going further than any country in the world by banning social media for under-16s and putting wider protections in place to give kids their childhood back.
“This is a line in the sand. Tech giants had their chance and failed, but we’re stepping in to protect children, back parents and set a new normal for future generations.”
Five of the BEST places in Sheffield to watch the World Cup
Thomas Melia
Whether it's coming home or not, we've rounded up five of the best pubs, bars and cultural hubs in our home for you to watch the World Cup.
After getting eliminated in the quarter-final four years ago at the 2022 World Cup in Qatar, the England team are back with a vengeance as they gear up for the 2026 World Cup across USA, Canada and Mexico.
Just like every football tournament, there's always high hopes for our lads, and rightly so as this team has won once, placed fourth twice and reached the quarter-final stage a whopping 7 times.
This time round, the football frenzy is kicking off right in the middle of the British Summertime, and weather-depending we'll be enjoying a crisp pint or two with the sun beaming on us.
Failing that, we're sure there's plenty of indoor room at these five Sheffield spots where we can comfortably watch the match, and maybe grab a bite to eat too.
Where are some of the best places to watch the World Cup in Sheffield?
Riverside
Images: The Sheff
Self-appointed 'Friendly local pub' Riverside is located in Kelham Island and is hosting matches throughout the pub and to ensure everyone gets a good seat, they're showing England games in their function room and courtyard too.
It's no surprise that this notable South Yorkshire watering hole is screening as many football games as they can, as it's recognised for hosting all sorts of activites including a Cowgirls and Cocktails night recently with painting, limbo and drinks.
Known for its iconic neon sign which adorns the side wall of the pub that overlooks its accompanying beer garden, this Sheffield pub is encouraging footy lovers to make bookings to avoid disappointment, although walk-ins where possible will be welcomed.
Cambridge Street Collective
Images: The Sheff
If you didn't know already, Cambridge Street Collective is Europe's largest purpose-built food hall with a variety of bars and some seriously tasty scran being served up by 20 diverse kitchens.
In case that wasn't enough to tempt you, it's launching some deals just in time for this football celebration with £10 entry securing you a nice seat and a pint valued up to £7.
There's even £5 Pravha an hour before England match kick-offs, live DJs to give the space a more fan zone-esque feel as well as a retro footy shirt pop-up on Sunday 14 June from 12pm to 4.30pm.
Kapital
Images: The Sheff
This 'promised land of European drinking and dining' is obviously getting involved in all the World Cup action with free entry and no bookings required.
This booze-filled institution is even giving away free pints of Paulaner for you to enjoy during England's first match against Croatia through the link in their bio.
After a beer? There's definitely no short supply as you can grab a one litre stein. Prefer a cocktail? You're in luck as this Sheffield pub is pouring frozen margs too.
Also joining in on the generosity with a giveaway is Neepsend Social, who are offering a free pint for you and a mate during any of the upcoming World Cup matches.
Although not much is listed about their plans for the World Cup, considering this social club is always running a variety of events, it's more than likely they're getting involved in showing the footy.
This venue is walk-in only and dog friendly, meaning you really can bring everyone you know including your friend's nan's dog - pawfect.
BOX Sheffield
Images: The Sheff
This designated sports bar is obviously making the most of the World Cup celebrations, even hosting an orchestra take-over at their London Piccadilly location playing iconic anthems.
All their sites across the UK are getting booked up fast, so if you're after watching England with a few pals here, it's better to get this booked sooner rather than later.
Not in the mood for football but still up for a party? Their Sheffield location has a couple of karaoke pods available to hire too - We're sure 'Three Lions' will be on the playlist regardless.
The Hoot -
24th May 2023 
