Supermarket budget and own-brand food worst impacted by inflation

Which? launches its new supermarket inflation tracker to reveal exactly what's happening with food prices
pound sign made of dough

Prices of supermarket own-brands and budget ranges have gone up more than premium and branded foods during the cost of living crisis, according to new Which? research.

Our supermarket food and drink inflation tracker shows price hikes of up to 175% on everyday budget and own-brand products at a time when many households will be relying heavily on basic supermarket ranges to feed themselves and their loved ones.

Which? tracked the prices of tens of thousands of food and drink products at eight major supermarkets – Aldi, Asda, Lidl, Morrisons, Ocado, Sainsbury’s, Tesco and Waitrose – to see how inflation is impacting everyday products.

The tracker compares prices across the same three-month and one-month periods year on year, including discounts but not multibuys or loyalty card offers. 

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How budget ranges are rocketing in price

The first wave of data from the tracker reveals that supermarket own-brand and budget ranges have shot up on average by 18.1% and 19.2% year on year, compared to 13.3% for premium own-brand ranges and 12.3% for branded foods.

Which products have risen in price the most?

We drilled down into the biggest price increases on supermarket budget food and drink over the past year, comparing the three months ending 31 October in 2021 and 2022.

The biggest increases were on Creamfields soft cheese (200g) at Tesco, which went from 49p to 84p, an increase of 71%, and Sainsbury’s Simply Muesli (1kg), which went from £1.20 to £2.03, an increase of 70%.

When we looked at the 20 budget products with the highest price rises across supermarkets for the same period, we found other Tesco products, including Hearty Food Co Two Garlic Chicken Kievs (260g), Grower's Harvest Orange Juice (3 x 200ml) and Rosedene Farms Small Pear Pack (550g), all soaring by more than 60% in price.

Sainsbury's groceries also featured in the list of budget items that saw huge price hikes. Hubbard's Foodstore Sparkling and Still Waters (2L), J James & Family Fresh British Chicken Breaded Kyiv with Garlic Butter x 2 (240g) and Mary Ann's Dairy Soft Cheese (200g) all went up by more than 50%.

Mid-priced own-brand products tended to be where supermarket prices had risen the most. The most striking increase was on Waitrose chocolate chip shortbread (200g), which almost tripled in price, from 82p to £2.25 an increase of 175%. 

At Asda, two versions of its Free From cream cheese products – its Soft Cheese Alternative (170g) and its Garlic & Herb Soft Cheese Alternative (170g) – went up from 93p to £2.12, an increase of 128%.

What the supermarkets say

Which? sent a list of the specific products and prices featured in this story to the supermarkets. Their responses can be found below.

A Tesco spokesperson said: 'With household budgets under increasing pressure, we are absolutely committed to helping our customers, by keeping a laser focus on the cost of the weekly shop. So whether it’s price-matching Aldi on the basics, locking the price of more than 1,000 household staples until 2023, or offering exclusive deals and rewards through thousands of Clubcard Prices – we’re more committed than ever to providing our customers with great value.'

A Sainsbury's spokesperson said: 'With costs going up, we are working hard to keep prices low. We offer over 40,000 products in our supermarkets and are investing £500 million over two years to ensure the items people buy most often are on the shelves at the best prices. Customers can find low prices on everyday staples in stores and online – including spaghetti, bread and washing-up liquid, which are all available for less than 50p.'

A Waitrose spokesperson said: 'With the increase in production costs for primary products and the war in Ukraine, no retailer is immune to inflation. However, we’re working very hard with our suppliers to ensure we offer great value, while continuing to deliver industry-leading animal-welfare standards, fresh produce grown with care and fair deals for farmers.'

An Asda spokesperson said: 'We have a long-standing reputation for providing customers with outstanding value and it’s more important than ever that we deliver on this for them. We’re focused on keeping prices on branded and own-label products in check to ensure that Asda remains the lowest-priced traditional supermarket.' 

Supermarkets with the biggest price inflation

The research suggests the supermarkets that had the biggest overall inflation on food and drink year on year were Aldi (20.0%) and Lidl (19.5%), although Lidl disputes the accuracy of some of the data used. However, both discounters still tend to be the cheapest of the big supermarket chains to shop in overall. 

The discounters were followed by Asda (15.3%), Waitrose (14.6%), Morrisons (14.2%), Sainsbury's (13.7%) and Tesco (12.9%). Ocado had the least inflation overall (10.5%)*.

SupermarketMonthly inflation to the end of November 2022
Aldi20.0%
Lidl19.5%
Asda15.3%
Waitrose14.6%
Morrisons14.2%
Sainsbury's13.7%
Tesco12.9%

Source: Which? Supermarket Inflation Tracker. The Which? tracker looks at 20 popular categories of food and drink at eight supermarkets — Aldi, Asda, Lidl, Morrisons, Ocado, Sainsbury’s, Tesco and Waitrose. It compares average prices across the same one-month period year on year, including discounts but not multibuys or loyalty card offers. Figures are then weighted based on supermarket market share and the sales volume of each product category.

What should supermarkets do?

Despite overall supermarket inflation hitting a shocking 14.9%, the Which? tracker shows that typically cheaper own-brand and budget items have risen much more sharply. 

However, these budget lines still tend to be cheaper than branded and unbranded food and drink, so Which? believes supermarkets should do more to ensure they are widely available throughout all branches – including in smaller convenience stores. 

Our Affordable Food for All campaign calls for supermarkets to also provide targeted promotions to support people in areas that are struggling most with access to affordable food.

Sue Davies, Which? Head of Food Policy, said: 'Our inflation tracker lays bare the shocking scale of soaring food and drink prices – including on budget and own-brand products. While the data paints a bleak picture, we hope the tracker will help millions of people find the best possible value with their weekly shop during the cost of living crisis.

'We know the big supermarkets have the ability to take action and make a real difference to people struggling through the worst cost of living crisis in decades. That's why we’re calling on them to ensure everyone has easy access to basic, affordable food lines at a store near them and can easily compare the price of products to get the best value – and that promotions are targeted at the people who are most in need.'

*November figures were revised on January 18, 2023. The updated figures mean the order of Waitrose and Morrisons has switched in the table.