Essential reading for retailers and suppliers in the home improvement market

Hardware and garden price deflation highest on record

Published: 10 November 2014
Prices of DIY, hardware and gardening products have hit record-breaking levels of deflation, according to new figures.
Hardware and garden price deflation highest on record
The British Retail Consortium (BRC) says deflation in October continued across shop prices as a whole too.

BRC director general Helen Dickinson said: "For the eighteenth month in a row, shop prices have reported deflation, matching its lowest rate on record of 1.9% experienced in July 2014.

"Food inflation edged down to its lowest level on record of 0.1%. Value was also a mainstay across the home category, with great offers on small appliances and electricals doing particularly well as retailers competed to cater for strong pre-Christmas demand.

"DIY, gardening and hardware were at their deepest level of deflation since our records began.

"With a backdrop of falling commodity prices, cheaper imports and benign inflationary pressure in the supply chain, we expect the great deals to continue in the medium term, bar any supply chain shocks.

"With the current competitive environment, retailers are passing most of these savings onto consumers. As Christmas swiftly approaches, there is plenty of evidence to suggest that budgets will go a little bit further this year."

Mike Watkins, head of retailer and business insight at Nielsen, added: "For many non-food retailers, the mild weather of the early autumn has certainly been a challenge but it is the intense competition on the high street that is keeping prices low."

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