MAGNIFICENT 17
Spending on groceries hits new high after shoppers visit supermarkets average of 17 times each over Christmas
High frequency of trips could be down to savvy customers switching stores amid price wars
SHOPPERS hit supermarkets an average of 17 times each during December — pushing up spending on groceries to a new high.
Stocking up on festive treats saw food and drink bills hit £460 per household, according to data from researchers at Kantar.
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Spokesman Fraser McKevitt said December was “the busiest month for the retailers since the pre-lockdown rush in March 2020”.
Retail experts suggested the high frequency of trips was due to savvy customers switching stores to get the best deals and take advantage of different promotions.
There was a price war on vegetables, which saw bags of carrots sold for 8p, but overall food prices were higher.
Food inflation shot up in December to 3.7 per cent compared to 2.6 per cent in November. It was driven by rapid price rises in juices, chocolate and skincare, said Kantar.
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That didn’t stop 7.4million households picking up a celebratory bottle of fizz. However almost one million households opted for zero or low-alcohol sparkling wine.
Kylie Miniogue's own range of no-booze fizz, and Aldi's own-label range, were the biggest drivers of growth for teetotal tipple.
The Aussie pop star launched hers in 2022 but the trend for people cutting down on booze has gathered pace in the past year.
Ocado claimed the festive trading crown after its sales surged by 9.6 per cent. The upmarket online grocer typically does well at Christmas when people trade up to treat friends and families to Yuletide luxuries.
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By comparison Asda was a standout loser, with sales slumping by 5.8 per cent at a time when all of its big rivals grew sales.
Morrisons, which had a loyalty card glitch in the run-up to crucial festive trading, only achieved sales growth of 0.4 per cent but Tesco grew sales by five per cent and Sainsbury's sales rose by 3.5 per cent.
Supermarket deals
The strong festive supermarket sales suggest Brits were putting Christmas dinner at the top of their budget priorities as high street sales were flat, according to separate British Retail Consortium figures.
Job swap at Close
THE boss of Close Brothers stepped down yesterday to focus on his health as the lender grapples with the fallout of the motor finance scandal.
Adrian Sainsbury went on medical leave in September and has now agreed to hand over to finance director Mike Morgan.
Close Brothers said he was expected to make a full recovery.
Shares tumbled by 70 per cent last year as the firm could be hit for billions in compensation over the finance scandal.
Shein's camps dodge
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FAST fashion giant Shein was slammed by MPs yesterday after refusing to answer whether its clothes are made of cotton from Chinese forced labour camps.
The firm, which made £1.5billion in the UK in 2023, is now trying to get regulators’ approval for a bumper £50billion listing on the London stock market.
But it was blasted by Liam Byrne, chair of the Commons Business and Trade select committee, after refusing to say how its materials were sourced.
The brand’s general counsel Yinan Zhu only said the brand — which does not make its own products but has contracts with Chinese factories — is complying with relevant regulations.
Mr Byrne said that Shein had “bordered on contempt of the committee” in the grilling. He told Ms Zhu: “We have zero confidence in the supply chain.
“You can’t tell us anything about what your products are made from or the conditions they’re made under.”
Music on song
BRITISH music revenues set a new all-time record last year, according to figures.
Music spending hit £2.4billion, up 7.4 per cent from 2023 and overtaking the record of £2.2billion in 2021.
Digital entertainment and retail group ERA said it was helped by a 7.8 per cent rise in streaming while physical sales rose 6.2 per cent on the back of the vinyl revival.
Era's Linda Walker said subscription sales — like Spotify — were driving a shift in the industry. Meanwhile, video game sales fell 4.4 per cent.
Building of homes in slump
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LABOUR’S plans to build 1.5million homes have been dealt a blow, as housebuilding dropped at the fastest rate in half a year in December.
The closely-watched S&P Construction Purchasing Managers’ Index shows the rate fell for the third month in a row.
It dragged the entire construction index below economists’ predictions after falling to 53.3 in December, down from 52.2 in November.
The slump has been put down to high borrowing costs, weak consumer confidence and subdued buyer demand.
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Tim Moore, expert at S&P Global Market Intelligence, said: “Many firms reported worries about cutbacks to capital spending and gloomy projections for the UK economy.”
The Government hopes that planning reforms will stimulate building. But construction firm Barratt has cut its target for building in 2025 by 7 per cent amid worries of low demand.
Wind beats gas
WIND power overtook gas as Britain’s biggest electricity source last year, figures show.
Wind produced 30 per cent compared to 26.3 from gas, the National Electricity System Operator said.
NESO also said 2024 was the greenest year on record with wind, solar, hydro and nuclear power up, while the UK’s last coal power station also shut down.
The figures are well short of the government’s target for 95 per cent clean energy by 2030. The majority of homes still use gas boilers.