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'Six eggs used to be £1' - why everyday essentials cost so much more now

'Six eggs used to be £1' - why everyday essentials cost so much more now

‘Six eggs used to be £1’ – Why everyday essentials cost so much more now

For years, many households have relied on the same weekly supermarket staples. It is common to notice that the final total at the checkout is higher now, even when shoppers have omitted indulgences such as wine or biscuits from their baskets. However, the exact extent of the price hikes for basic items like milk, bread, and eggs over the last few years may come as a surprise. This analysis reveals the magnitude of these increases, the underlying causes, and whether any parties are seeing significant profits.

The Surge in Egg Prices

In 2022, consumers could purchase an average box of six supermarket own-brand free-range eggs for just £1. Today, that same item costs £1.80, according to market researchers Assosia, which analyzed average prices across Tesco, Sainsbury’s, Asda, and Morrisons for the BBC.

The sharp increase in egg prices was triggered by the culling of millions of hens during the UK’s most severe avian flu outbreak between 2021 and 2023. This event caused a sudden reduction in the laying hen population. Additionally, restrictions requiring birds to be kept indoors increased energy costs, leading to shortages. Consequently, supermarkets imposed purchase limits, while producers and retailers raised prices to mitigate their losses.

Production costs are heavily influenced by the price of grain for feed, heating facilities, and transport. Ukraine, a primary grain supplier, saw costs soar after Russia’s full-scale invasion in 2022. The conflict also drove up energy prices, a trend being repeated due to the war in the Middle East. Despite these pressures, demand for eggs remains robust, fueled by the popularity of high-protein diets.

Energy Impacts on Milk Production

Milk is another staple that has seen price increases, rising from £1.29 for four pints of semi-skimmed milk in 2022 to £1.65 currently, based on Assosia’s data regarding supermarket budget ranges.

Dairy farming is energy-intensive, involving milking, processing, and transportation. Therefore, the energy price spikes following the Ukraine war significantly impacted the industry. Although prices surged initially, recent years have seen a moderation in milk price increases due to a global oversupply. However, the financial strain on producers remains severe; according to agricultural analysts at The Andersons Centre, dairy farmers are receiving 25% less per litre of milk than before, with many operating at a loss.

Producer Costs vs. Retail Prices

While farmers and producers keep shelves stocked with eggs, milk, and bread, their expenses have outpaced inflation over the past year. The Office for National Statistics (ONS) reports that the prices producers pay for materials and goods increased by 7.7% in the year leading to April, marking the largest rise in over three years.

In contrast, factory gate prices—the amounts producers charge retailers or wholesalers—increased by only 4% during the same period. Danni Hewson, head of financial analysis at AJ Bell, explains that contracts between producers and supermarkets are finalized in advance. “Without a crystal ball nobody can know what is going to happen” to costs at the time contracts are signed. While farmers can negotiate higher prices upon contract renewal, they generally cannot adjust rates mid-contract when energy or fuel costs skyrocket. Consequently, Hewson notes that producers are forced to absorb a portion of these increased costs.

Bread Prices Stabilize

The average price of a loaf of basic medium-slice white bread in major supermarkets has risen from 65p in 2022 to 74p today. Although Assosia lacks data for discounters like Aldi and Lidl, other supermarkets often match prices due to fierce competition for customers.

The wheat price inflation caused by Russia’s invasion of Ukraine, which initially drove up bread costs, has since stabilized. However, The Andersons Centre warns that conflict in the Middle East has reignited fears regarding global supply chains. Hewson describes the current situation as a “perfect storm” of inciting factors.


Source: BBC News Generated at: 2026-05-24 01:02:55 UTC

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