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

For years, shoppers have purchased the same grocery staples week after week, yet the final total at the checkout consistently feels higher than in the past—even when indulgences like wine and biscuits are left behind. While this trend is widely recognized, the specific magnitude of price increases for basic items such as milk, bread, and eggs over the last few years may come as a shock. This analysis explores the extent of these price hikes, the underlying causes, and whether any specific parties are reaping significant profits from the changes.

The Surging Cost of Eggs

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

This dramatic increase was triggered by the UK’s most severe avian flu outbreak between 2021 and 2023, which necessitated the culling of millions of hens. The resulting scarcity was exacerbated by regulatory requirements to keep birds indoors, driving up energy costs. Consequently, shortages led supermarkets to impose purchase limits per customer, while both producers and retailers raised prices to mitigate their financial losses.

Production costs for eggs are heavily influenced by the price of grain for feed, heating facilities, and distribution. Ukraine, a key grain supplier, saw costs soar following Russia’s full-scale invasion in 2022. The conflict also escalated energy prices, a trend that is being repeated due to the ongoing war in the Middle East. Despite these rising costs, demand for eggs remains robust, fueled by the growing popularity of high-protein diets.

Milk Production and Energy Pressures

Milk prices have also climbed, 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. The dairy sector is energy-intensive, requiring significant power for milking, processing, and transport. Therefore, the energy price spikes following the Ukraine war severely impacted the industry, driving up costs.

Although prices initially surged, the rate of increase has slowed in recent years due to a global oversupply of dairy. However, the financial strain on producers remains acute; agricultural analysts at The Andersons Centre report that dairy farmers are receiving 25% less per litre of milk than before, with many operating at a loss.

The Disconnect Between Producer Costs and Retail Prices

While farmers and producers maintain stocked shelves for eggs, milk, and bread, their expenses have risen faster than the general inflation rate 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 jump in over three years.

Conversely, factory gate prices—the amounts producers charge retailers and wholesalers—only increased by 4% during the same period. This disparity highlights the squeeze on producers. Danni Hewson, head of financial analysis at AJ Bell, explains that contracts between producers and supermarkets are finalized in advance.

"No one has a crystal ball to predict future costs for producers and farmers at the time contracts are signed," Hewson notes. While producers can negotiate higher prices upon contract renewal, they cannot typically adjust rates mid-contract when energy or fuel costs skyrocket. "Consequently, producers are forced to absorb some of these price increases," she adds.

Bread Prices Stabilize Amid Global Tensions

The cost of a loaf of basic medium-slice white bread rose from 65p in 2022 to an average of 74p in major supermarkets today. Although Assosia does not track discounters like Aldi and Lidl, other supermarkets generally engage in price-matching due to intense competition for customers.

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

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