Hospitality Industry: Inflation

(asked on 23rd February 2026) - View Source

Question to the Department for Business and Trade:

To ask the Secretary of State for Business and Trade, what assessment he has made of the impact of food inflation on hospitality businesses.


Answered by
Kate Dearden Portrait
Kate Dearden
Parliamentary Under Secretary of State (Department for Business and Trade)
This question was answered on 2nd March 2026

Data from the Office for National Statistics (ONS) shows that in January 2026 CPI food price inflation stood at 3.6%, down from 4.5% in December. Overall CPI inflation was 3% in January 2026, compared with 3.4% in December 2025, and remains 1 percentage point above the Bank of England's 2% target.

We are committed to ensuring that regulation works better for food businesses. The new Food Inflation Gateway will assess the impact of proposed Government regulations on food businesses and food prices; while also giving firms a single, clearer line of sight on upcoming regulatory changes so they can plan with greater confidence.

In addition, the Government has introduced a series of measures to help ease cost pressures across the sector, including permanently lower business rates multipliers for eligible retail, hospitality and leisure properties. We will continue to work closely with the sector and across Government to support resilience and help hospitality businesses navigate ongoing cost challenges.

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