UK shop price inflation decelerated in June, with price cuts for staples such as milk and eggs easing some pressure on consumers, figures released on Tuesday showed.
According to the British Retail Consortium-NielsenIQ tracker, annual shop price inflation in the UK eased to 8.4% in June, from 9.0% in May, taking it below the three-month average inflation rate of 8.7%.
Food inflation, a thorn in the side of the UK consumer, ebbed to 14.6%, from 15.4% with fresh food inflation falling to 15.7% from 17.2%. Ambient food inflation decelerated slightly to 13.0% from 13.1%.
In a statement, BRC chief executive Helen Dickinson said: "Households up and down the country will welcome the easing of shop price inflation in June.
"Food inflation slowed for the second consecutive month, particularly for fresh products, as retailers cut the price of many staples including milk, cheese and eggs.
"Clothing and electrical goods also saw falling prices, helping customers to pick up a bargain ahead of the summer holidays."
"If the current situation continues, food inflation should drop to single digits later this year. However, it is imperative that government does not hamper this progress by introducing costly new policies," she added.
The news will be a boost for the Bank of England as it battles to bring inflation under control.
Last week, the Bank of England raised interest rates to 5.0%, the 13th consecutive increase in a row.
The latest rate hike followed stubborn consumer price inflation figures which were unchanged at 8.7% in May compared to April.