Food to overtake energy bills in driving up UK cost of living crisis
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.
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.
ADVERTISEMENT
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.
ADVERTISEMENT
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.
ADVERTISEMENT
“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.”
Featured image – RawPixel
Eats
Tawny Stores – Inside the stunning canalside restaurant that’s Stockport’s loveliest addition
Daisy Jackson
There’s a tiny little opening on the outskirts of Stockport that’s so charming, with such delicious food, that we’re going to have to insist you all rearrange your plans to visit immediately.
This is Tawny Stores, a restaurant, cafe and deli where you can do everything from having a romantic candlelit dinner to scoffing a morning pastry to grabbing a loaf of bread to take home.
With a pretty canalside location, and windows that look out over the water, it’s already proving a fantastic addition to Greater Manchester.
Tawny Stores is in Marple Bridge, a picturesque village at the foot of the Peak District hills (which feels a million miles from Stockport, but the name on the wheelie bins doesn’t lie).
It may be a total pain in the arse to get to, especially with every-other train being cancelled, but getting stuck out here is far from being the end of the world.
From their tiny kitchen they cook an ever-changing menu that’s technical, but simple.
By the time you read this the menu will probably have changed again, but here we go anyway.
Rabbit pie at Tawny Stores in Marple Bridge. Credit: The Manc GroupA cheese toastie at Tawny Stores. Credit: The Manc GroupHomemade crisps and a glass of wine. Credit: The Manc GroupRoast squash and lentils at Tawny Stores in Marple Bridge. Credit: The Manc Group
We had a wild rabbit, cider and tarragon pie, with a crust that could win awards and a generous dollop of silky smooth mash.
There was a simple cheese and onion toastie, elevated by some top-quality bread and homemade chutney on the side.
A warming pile of lentils was then topped with roasted squash and a zingy and herby green sauce to zap it (and you) back to life.
And then there’s homemade focaccia, which you can order with olive oil or have it as a sandwich, where fillings are currently festive and include squash and stuffing, crispy sprouts and aioli, and pork Milanese and cranberry.
Inside Tawny Stores, Marple Bridge, Stockport. Credit: The Manc GroupTawny Stores in Marple Bridge. Credit: The Manc Group
Before you head out, take a moment to browse the shelves full of produce (and the display unit filled with homemade cakes).
You can grab a hot drink to walk down the canal and burn off some of that fuel, or do it in reverse and come in here to warm your cockles after a brisk winter stroll.
Either way, it’s one to visit – and soon.
You can follow them on Instagram HERE for their latest menus.
10 of the best new bars and restaurants to open in Greater Manchester in 2024
Daisy Jackson
Another year has ticked by and once again, Greater Manchester has proven itself as a global heavyweight when it comes to new bars and restaurants.
As the city expands ever-further, with new neighbourhoods springing up like daisies, there’s been a flurry of new openings across the city region.
From the small teams painstakingly hand-rolling pasta or laminating croissants to much larger ventures flinging out sunny brunch dishes or slabs of meat, there’s been something to excite just about every palate in 2024.
With so many new spots to check out, you’re bound to have missed a few – so we’ve pulled together our 10 favourites to add to your visit list in 2025.
Cacio e pepe pasta. Credit: The Manc GroupSoup and a steak sandwich. Credit: The Manc GroupThe Paris hot chocolate. Credit: The Manc Group
In smaller Greater Manchester towns, new openings don’t come along every day – which might be why Cafe Continental caused such a stir initially when it launched in Stalybridge.
But as the months have ticked on this neighbourhood restaurant has proved that it’s far from a flash in the pan.
It looks like it’s been plucked from a pretty Parisian back street and has a menu that will stand the test of time, from a cacio e pepe pasta with an egg yolk on top to spicy twice-fried chicken buns and steak sandwiches.
That’s alongside excellent cocktails and one of the internet’s most viral sweet treats, a proper Paris hot chocolate, where you dollop thick cream into dainty cups of molten hot chocolate.
Blacklock’s cocktail trolley which roams their new Manchester restaurants. Credit: The Manc GroupBlacklock’s all-in platter outside their new Manchester restaurant. Credit: The Manc Group
Easily up there with the biggest openings in 2025 is Blacklock, which ventured out of its native London for the first time this year and landed in a basement unit on Peter Street.
Here, it’s all about the meat-heavy menu of reasonably-priced British classics, affordable cocktails, and its legendary white chocolate cheesecake scooped straight from the dish and dolloped onto your plate.
Blacklock is a modern take on a traditional chop house and proudly offers ‘hearty fare and rowdy comfort’.
A menu highlight is their all-in platter, where chops are piled high on charcoal-grilled flatbread which soaks up the meat juices. Delicious.
Pasta and pizzetta dishes at Onda in Manchester. Credit: The Manc Group
Surely one of the greatest success stories in recent years, Onda has gone from a humble kitchen within Exhibition food hall, to a resident at New Cross in Ancoats, to its very own shiny restaurant at Circle Square in the blink of an eye.
From this massive new space, you can watch a team of chefs carefully making fresh pasta in the open kitchen, and glimpse their now-viral tiramisu drawer in action.
Even six months down the line, it’s damn-near impossible to book a table here, with people still waiting months to sample their delicious pastas, including fan favourites like nduja and vodka sauce, cacio e pepe bucatini, and a selection of thick-crusted pizzettas.
The tiramisu might have sent their popularity sky-high, but the quality and prices here prove that it deserves every bit of success coming its way. This place is not a novelty.
Rudy’s, Prestwich and Altrincham
Rudy’s in Altrincham. Credit: The Manc GroupRudy’s Prestwich. Credit: The Manc GroupRudy’s opened two new restaurants in Greater Manchester this year
Some might think that Rudy’s is getting a little big for its boots, now with 29 restaurants across the UK – properly impressive growth considering they were just a tiny pizzeria in Ancoats less than a decade ago.
But these top-quality Neapolitan-style pizzas are the stuff of legend for good reason and are pulling in big crowds in every suburb they land in.
This year alone they’ve launched new restaurants in Altrincham and another in Prestwich, the latter of which has gone into a vacant bank building on the high street of the Greater Manchester suburb.
Will anything ever stop these guys in their tracks? Doubt it…
Medlock Canteen, Deansgate Square
Fresh baguettes stuffed with rotisserie chicken straight out of the oven. Credit: The Manc GroupInside Medlock Canteen. Credit: The Manc Group
Bottomless coffee, rotisserie chicken, epic sandwiches, schnitzels, and big brekkies, all served in a delightfully mid-century modern interior – we were excited for Medlock Canteen before the doors even opened.
Moving into the skyscraper neighbourhood of Deansgate Square, this place comes from the same team behind Madre (the Mexican restaurant at Kampus) and Belzan (one of Liverpool’s top restaurants).
ADVERTISEMENT
It’s had a few rave national reviews and pulls in a steady crowd, thanks in part to its proximity to Club de Padel. Going straight from court to cocktails is a pretty dreamy Manchester evening.
They’ll even let you order a portion of whatever the staff dinner is that night for a tenner.
Companio, Northern Quarter
Companio Bakery in the Northern QuarterMaritozzi from Companio BakeryCredit: The Manc Group
It’s always been one of Manchester’s best bakeries, but its original location on the very edges of Ancoats sort of kept it a bit too out of the way.
So when Companio announced a new spot in the heart of the Northern Quarter, bringing its loaves and pastries that little bit closer, the city centre rejoiced.
On the menu you’ll find sandwiches in freshly-baked bread, maritozzi bursting at the seams with cream, delicious coffee, seasonal bakes and loads more, in a gorgeous new cafe on an NQ back street.
ADVERTISEMENT
You can even pull up a seat right next to the bakery so you can sit and watch loaves being lovingly shaped and baked right in front of you – now that’s my kind of show.
Hive Stores, Altrincham
Hive Stores in Altrincham, Greater Manchester
It’s not every day that Greater Manchester gets a new business quite as beautiful as the bar at Hive Stores, which is filled with gorgeous antique furniture, a general store, and a cafe.
The business had previously operated as an antiques store from a ramshackle building out the back – but when this roadside space came up next door, they snapped it up and transformed it into a timeless, character-packed community cafe and bar.
You can pick up some eggs and have an espresso martini at the same time, tuck into a cheese board and a few glasses of wine, grab a Half Dozen Other pastry, or sit on the pavement with a spritz and people-watch.
It’s operated by Steven Sherratt and Gareth Wilkins and you’re guaranteed a warm welcome every time. A must-visit.
Dishes at Stow are seasonal and cooked over open fire. Credit: The Manc GroupStow in Manchester
This is the newest spot on the list, and if you’ve not already jumped on the bandwagon it’s one to add to your list for 2025.
What sets Stow apart from the rest is its innovative cooking style – no ovens, no conventional appliances, just fire and grill. Everything on the menu – even their bread and cake – is cooked over open fire.
They’ve totally transformed the space on Bridge Street too, which has at various points over the last few years been a futuristic coffee shop, a Thai BBQ restaurant, and a wine bar.
Stow is owned and operated by Matt Nellany and Jamie Pickles from Trof, who want to celebrate the ‘simplicity of great ingredients cooked over open fire with very little faff’.
Cheese and kimchi on toast at Caravan in Manchester
It would be quicker to list what Caravan doesn’t serve than what it does, but every single thing on their all-day menu is executed to the highest degree.
From brunches to sourdough pizzas, coffee to cocktails, grain bowls to brioche puddings, the menu harks from sunny New Zealand (as do its three co-founders).
Caravan is a wildly popular name down in London and finally landed here in Manchester in the summer, with a massive new 170-capacity restaurant and a full working roastery.
Menu highlights include jalapeño cornbread with chilli butter, Korean-style buttermilk fried chicken with kimchi pancakes, and, of course, fry-ups.
ADVERTISEMENT
RamenShop, Northern Quarter
Ramenshop in the Northern Quarter. Credit: The Manc Group
Alright this one technically isn’t a new opening, rather a rebrand – but something about that shiny new sign above the door made us fall back in love with RamenShop (formerly Tokyo Ramen) all over again.
The team who run the show here – Janven, Marc and Mark – have actually been given partial ownership of the restaurant, which is a lovely bit of positive hospitality news for a change, isn’t it?
Their concise menu sees 12-hour chicken broth bases piled high with perfect noodles, proteins and jammy eggs, including their best-selling ‘fire’ ramen, topped with crunchy koji-fried chicken, and the classic shoyu that’s topped with torched pork belly.
Georgina Pellant -
23rd May 2023 
