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.
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.
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.
“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
The Michelin Guide adds THREE new Greater Manchester restaurants
Daisy Jackson
Three brilliant Greater Manchester restaurants have been added to the prestigious Michelin Guide this week.
All three new additions to the guide have been open for less than a year, and join an impressive roster of 15 other local restaurants.
Manchester also now boasts two Michelin stars after going decades with none, thanks to the opening of Skof last year.
While stars remain the most prestigious accolade in the hospitality industry, Michelin also dishes out Bib Gourmands, and Michelin Guide entries to recognise excellent restaurants at lower price points.
Greater Manchester now has 15 entries to its name, with a new trio added yesterday.
Up first is Winsome, a restaurant from former Chef of the Year award-winner Shaun Moffat.
Winsome has also made it into the Michelin Guide. Credit: The Manc GroupInside WInsome on Princess Street. Credit: The Manc GroupWinsome has also made it into the Michelin Guide. Credit: The Manc Group
The modern British bistro, which stands on a corner of the Whitworth Locke hotel building, features playful and classic dishes like asparagus with dippy eggs, gigantic pies with gravy served in cow-shaped jugs, and soft bread rolls with lashings of butter.
The Michelin Guide said: “Manchester’s industrial history feels like it’s had an overt influence on this buzzing brasserie with a large kitchen counter and a stripped-back look.
“The cooking has an admirably gutsy, straightforward quality to it, with hints of nostalgia. Think cold cuts, whole fish, hearty homemade pies and a mixed grill. It’s all executed with skill and the ingredients are of obvious quality, resulting in no shortage of flavour.
“The young and enthusiastic service team are a perfect fit for such a fun place.”
Winsome said: “Today is a good day! We’re absolutely chuffed to tell you that we’ve made it into the Michelin Guide!”
Across town, the next Manchester entry into the Michelin Guide is Pip, a new spot from acclaimed local chef Mary-Ellen McTague.
Pip by Mary-Ellen McTague has been added to the Michelin Guide
Pip, at the foot of the Treehouse Hotel, opened earlier this year and has already received glowing national reviews thanks to its seasonal, proudly local dishes.
There are pies, oysters, British charcuterie, sardines on toast, cheese and onion tarts, chops, hot pots, and plenty more, with suppliers including Littlewoods Butchers, Organic North, Courtyard Dairy and Kindling Farm.
Speaking on the recognition, Mary-Ellen McTague, chef partner at Pip, said: “We’re over the moon to be included in the Michelin Guide so soon after opening!
“It’s an incredible honour, made possible by the dedication of our amazing team and the support of our wonderful suppliers. Working with them to showcase the very best of the North West is a daily joy.”
And completing this month’s entries to the Michelin Guide is Cantaloupe, an achingly stylish new local restaurant for Stockport.
Inside, it’s all white brick walls, wooden furniture, and bold art, with a frequently-changing menu built around the best produce they can get their hands on.
The Michelin Guide wrote of Cantaloupe: “There’s a fresh, clean feel to both the décor and the cooking at this welcoming little wine bar and restaurant. The concise but appealing wine list will appeal to traditional oenophiles, with quality established growers to the fore.
“The menu has a Mediterranean leaning, so whilst it changes daily, it will likely include a pasta dish and possibly some whole fish. This is cooking that relies on simplicity and skill, with immense care poured into dishes like peri peri octopus and duck fat crisps, so that the natural flavours shine.”
All the Greater Manchester restaurants included in the Michelin Guide
Daisy Jackson
Our city’s thriving food scene really does span all budgets and appetites, from Michelin star fine-dining to award-winning street food.
And the quality of our city’s higher-end establishments is evident with just a glance at the Michelin Guide, where esteemed judges have selected 13 Greater Manchester spots of note.
A few establishments have quietly dropped off the Michelin list in the last year, with Canto in Ancoats, Tast on King Street, and the now-closed Habas and Ramsbottom’s Levanter no longer featured.
But there are new entries too, including (so far) a new Bib Gourmand for Higher Ground.
Keep reading to discover the full list of restaurants in Greater Manchester included in the Michelin Guide.
Simon Martin’s ultra-high-end Ancoats restaurant Mana is the only restaurant in Greater Manchester to currently hold a Michelin star, breaking a 40-year dry spell for Manchester city centre.
What the Michelin guide says: “The personality and experience of chef-owner Simon Martin shine brightly at this stylish, modern restaurant, where every one of the well-spaced tables has a view of the kitchen.
“British produce leads the way, including plenty of seafood because, as Simon puts it, ‘we live on an island’. There are many Asian techniques on display and the cooking marries complex flavours with a pure, natural approach, in dishes such as a superb roasted hogget with white miso sabayon.”
Skof, NOMA
Inside Skof, Manchester’s newest restaurant
This shiny new restaurant from Tom Barnes and Simon Rogan’s UMBEL Group has been justifiably making waves since launching in May 2024, scooping itself a Michelin Star within its first year (and only the second star Manchester has had in decades).
What the guide says: “Located in an old textile warehouse, this restaurant from former L’Enclume Executive Chef Tom Barnes gives a nod to Manchester’s industrial heritage with its exposed brickwork and girders.
“The cooking skilfully blends measured international flavours with those from the restaurant’s doorstep; for dessert, you’re just as likely to get amakase sorbet as you are Manchester honey ice cream. The meal ends with a scoop of “Barney’s Tiramisu”, touchingly inspired by Tom’s late father.
“A relaxed atmosphere is encouraged, with the chef’s hand-picked playlist and the chattering diners combining for a brilliant buzz.”
Higher Ground, New York Street
Rick Stein named Higher Ground as one of his favourite restaurants in the UK. Credit: The Manc GroupHigher Ground received a Michelin Bib Gourmand this year
When Michelin announced a raft of new Bib Gourmands (which celebrate more affordable but high-quality restaurants) ahead of the main awards, it was no great surprise to see Higher Ground on the list.
The guide says of this newcomer: “What started life as a pop-up in 2020 is now a permanent spot in the heart of the city, owned and run by three friends who also operate wine bar Flawd and a market garden in the Cheshire countryside.
“The latter provides much of the top quality produce found on the menu, in dishes that are designed for sharing and packed with flavour. Sit at the large counter to see the chefs putting care and pride into every dish, like the terrific malted barley pudding with stout caramel. The whole team, led by the owners, are charming and cheery.”
Another restaurant that’s earned itself a Bib Gourmand is Simon Shaw’s El Gato Negro, the brilliant, multi-storey Spanish restaurant right in the heart of King Street.
What the guide says: “‘The Black Cat’ is a buzzing tapas restaurant split over three levels: the ground floor is home to the bar and outdoor tables in the pedestrianised street; the first floor boasts great counter seats in front of the open kitchen; and the third floor includes a fabulous roof terrace that’s ideal for private events.
“The cooking is as enjoyable as the atmosphere, offering great value across the wide selection of recognisable Spanish dishes, including meats from the Josper grill.”
The Sparrows, Green Quarter
Image: The Manc Eats
Image: The Manc Eats
Comfort food heaven, The Sparrows really captures the magic of Alpine food right beneath a Manchester railway arch, and is the third Manchester Bib Gourmand restaurant in the Michelin Guide.
What the guide says: “Nestled under the railway arches in Manchester’s Green Quarter is this somewhat hidden restaurant where you have to ring a bell to enter. Its name is (almost) the English translation of the word ‘spätzle’ – which gives some clue as to the style of food on offer here.
“The dumplings and assorted pasta dishes are all made in-house and include excellent pierogi. The focus on Eastern Europe carries through to the wine list, which has a leaning towards Polish wines.”
Where The Light Gets In, Stockport
Where The Light Gets In in Stockport. Credit: Instagram, @arestaurantwherethelightgetsin
This incredible restaurant over in Stockport earned itself a ‘green’ Michelin star a couple of years ago, recognised for its sustainability practices. Could it be the next to get itself a full Michelin star?
What the guide says: “This large, loft-style restaurant is located on the top floor of a Victorian coffee warehouse and its open kitchen forms part of the room. The surprise menu is formed from whatever they have foraged that day and beasts are brought in whole and fully utilised. Matching wine flights focus on natural wines.”
Winsome, Princess Street
Winsome, one of the newest restaurants in Greater Manchester, is now in the Michelin Guide
Winsome is a restaurant from former Chef of the Year award-winner Shaun Moffat, a modern British bistro where dishes are playful and classic.
The Michelin Guide said: “Manchester’s industrial history feels like it’s had an overt influence on this buzzing brasserie with a large kitchen counter and a stripped-back look.
“The cooking has an admirably gutsy, straightforward quality to it, with hints of nostalgia. Think cold cuts, whole fish, hearty homemade pies and a mixed grill. It’s all executed with skill and the ingredients are of obvious quality, resulting in no shortage of flavour.
“The young and enthusiastic service team are a perfect fit for such a fun place.”
Pip at Treehouse Hotel
Pip has been added to the Michelin GuidePip has been added to the Michelin Guide
Pip is a new spot from acclaimed local chef Mary-Ellen McTague, offering up seasonal, proudly local dishes, and receiving glowing national reviews as a result.
The Michelin Guide says: “Forming part of the Treehouse Hotel, Pip provides a calm oasis in the heart of the city. Like the hotel around it, the restaurant is decorated with a blend of repurposed materials and vintage pieces, with eye-catching pops of colour, wooden furnishings and a rustic touch.
“The kitchen is headed up Mary-Ellen McTague, a champion of the region who uses local produce and whose menu includes a satisfyingly rich and flavoursome take on the Lancashire hot pot.
“The service team are brimming with positivity and clearly love what they do.”
Cantaloupe is an achingly stylish new local restaurant for Stockport, with a frequently-changing menu built around the best produce they can get their hands on.
The Michelin Guide wrote of Cantaloupe: “There’s a fresh, clean feel to both the décor and the cooking at this welcoming little wine bar and restaurant. The concise but appealing wine list will appeal to traditional oenophiles, with quality established growers to the fore.
“The menu has a Mediterranean leaning, so whilst it changes daily, it will likely include a pasta dish and possibly some whole fish. This is cooking that relies on simplicity and skill, with immense care poured into dishes like peri peri octopus and duck fat crisps, so that the natural flavours shine.”
Adam Reid at The French, The Midland
Adam Reid at The French could nab another Michelin star for Manchester this yearAdam Reid at The French could nab another Michelin star for Manchester this year
For almost a decade, people have been predicting that Adam Reid at The French would be the next in Manchester to get a Michelin Star, seeing as it’s one of the city’s best fine-dining restaurants. It’s not happened yet, but it’s still exceptional.
What the guide says: “This famous hotel was first built to herald the arrival of the Midland railway in Manchester, and its restaurant was created in the Belle Époque style to evoke the luxury of the day.
“Whilst its name remains in homage to its historical past, today, chef Adam Reid’s multi-course menu is very much a homage to his Northern roots, with dishes having names such as ‘A Warm Northern Welcome’, ‘Yesterday’s Dinner’ and ‘Today’s Tea’. Personable chefs explain and finish each course off tableside, and dishes are richly flavoured with the occasional playful touch.”
Erst in Ancoats is Michelin-recommended restaurantErst in Ancoats is Michelin-recommended restaurant
Easily one of The Manc’s personal favourite restaurants, Erst has become a neighbourhood restaurant of which Ancoats is very proud, and is another worth addition to the Michelin Guide for Manchester.
What the guide says: “A modern, industrial-style wine bar run by a group of friends, laid-back Erst offers something refreshingly different in the city. It specialises in natural, low-intervention wines – many of which you can buy to take home – accompanied by a selection of flavoursome small plates.”
The newest entrant to the Michelin Guide is Orme, which offers a seasonal and affordable tasting menu concept.
The Michelin Guide says: “You will find a pleasantly welcoming quality at this small restaurant run by three young owners. There’s a distinct Nordic touch to proceedings, yet British produce is at the heart of the appealing tasting menu – which gives you the option to add supplementary courses for a more bespoke experience.
“Attractively presented dishes offer bold, vibrant flavours with a mix of the classic and the modern in their influences. Wine flights are also available, including a particularly interesting British themed option.”
The White Hart at Lydgate, Oldham
Image: The White Hart
Image: The White Hart
Country pubs don’t come much better than The White Hart, which has far-reaching views all the way back to Manchester’s city centre skyline.
What the Michelin guide says: “This 18C stone pub on the moor is a place that constantly evolves. It’s usually busy but the staff have everything under control and there are comfy bedrooms for those wishing to stay. Dining takes place in the cosy Tap Room or smart brasserie; the appealing menu has a British heart and global influences.”
Maya, Canal Street
Maya is a new restaurant and bar on Canal Street in Manchester. Credit: The Manc GroupDesserts at Maya, which has been added to the Michelin Guide
Maya in the Gay Village managed to earn its place in the Michelin Guide just two months after opening, with judges noting its ‘elegant, beautifully appointed’ decor.
The guide says: “In the heart of Manchester, close to the famous Canal Street, sits this impressively renovated basement restaurant. It’s an elegant, beautifully appointed place, with an art deco feel and a large cocktail bar that feels appropriate for an area of the city known for its party scene.
“The dishes often have a modern make-up but the kitchen’s classical skillset is evident in finely executed elements like a well-made sauce bonne femme to accompany top quality turbot. Four smart bedrooms are attached if you’re visiting from afar.”
Despite being wedged in on the most hidden street in Manchester, Another Hand has become one of the city’s stand-out restaurants – as evidenced by their inclusion in the Michelin guide.
The Michelin guide says: “This 24-seater bistro offers an appealing array of sharing plates which champion produce from local, ethical growers.
“The eye-catching, vegetarian-led dishes are served one at a time and their flavours are punchy and pronounced. Craft beers and low intervention wines accompany. Service is bubbly and the atmosphere, buzzing.”
Georgina Pellant -
23rd May 2023 
