Sainsbury's boss says food prices now rising more slowly

Food prices are not rising as fast as they were, helping to boost the amount customers are buying, the boss of Sainsbury's has said.

Sainsbury's saw an increase of nearly 10% in the value of the goods it sold in April, May and June.

That was partly down to good weather and the impact of Easter, the Coronation and bank holidays.

Chief executive Simon Roberts said Sainsbury's was "fully committed" to passing on savings to customers.

Food prices have risen sharply over the last year, but some wholesale prices have fallen in recent months and supermarkets have been accused of keeping prices higher than they need to be, hitting the pockets of customers.

Sainsbury's has defended its record, saying it has kept prices as low as possible, including cutting prices on staples such as bread, butter, milk and toilet roll.

Prices for the one hundred most popular grocery items were now lower than they were in March, Mr Roberts said, despite food prices rising more generally.

"We are putting all of our energy and focus into battling inflation," Mr Roberts said, and he added that food inflation was "starting to fall".

Falling food inflation means prices are still rising but at a slower pace than they were.

• Supermarkets deny they are making too much money

The Competition and Markets Authority (CMA) is currently examining whether competition in the grocery sector is working effectively to keep down prices.

A CMA report into fuel prices published this week found that customers had paid an extra 6p per litre of fuel at supermarkets last year due to competition "not working as well as it should be".

In the three months April to June, Sainsbury's sold 11% more groceries than the same period last year, when measured by the value of good sold.

But the supermarket chain said customers were also buying more groceries, measured by volume.

Clotted cream scones and Coronation jam had also helped to boost sales, he said, as customers continued to "treat themselves at home".

Sainsbury's said changes to its Nectar loyalty scheme had also provided "strong momentum". In April, Sainsbury's launched Nectar Prices, a strategy similar to Tesco's Clubcard loyalty scheme, that offers members prices that are lower than the general price offered to non-members.

Nectar Prices would be "further enhanced" later this year, Sainsbury's said.

How can I save money on my food shop?

• Look at your cupboards so you know what you have already

• Head to the reduced section first to see if it has anything you need

• Buy things close to their sell-by-date which will be cheaper and use your freezer

Read more tips here